Prepare and bake cake as directed on pkg. Cool cake in pans for 15 minutes. Remove from pans. Completely cool, about 20 minutes.
Frosting- Beat cream cheese in large bowl until smooth. Blend in pudding mix. Gradually beat in milk. Fold in pineapple, whipped topping and 1/2 C. coconut.
Place 1 layer on plate. Spread 1 C. pudding mixture between layers. Frost top and sides. Sprinkle top of cake with coconut and nuts. Store in refrigerator. May garnish with maraschino cherry or strawberry.
