Carrot Cake

2 cups white sugar
3/4 cups vegetable oil
3 eggs
1 tsp vanilla extract
3/4 cup buttermilk
2 cups grated carrots
1 cup flaked coconut
1 cup applesauce
2 cups all-purpose flour
2 tsp baking soda
2 tsp ground cinnamon
1 1/2 tsp salt
1 cup chopped walnuts (optional)
1/2 cup butter
1 (8 ounce) package cream cheese
1 tsp vanilla
4 cups powdered sugar

1. Preheat oven to 350 degrees. Grease a 9x13 pan (I used two 9 inch round pans).
2. In a large bowl, mix together sugar, oil, eggs, vanilla, and buttermilk. Stir in carrots, coconut, and applesauce. In a seperate bowl, combine flour, baking soda, cinnamon, and salt; gently stir into carrot mixture. Stir in chopped nuts (if you're using them). Spread batter into prepared pan.
3. Bake for 40-50 minutes or until toothpick inserted into cake comes out clean. Remove from oven and let cool.
4. In a medium mixing bowl, combine butter, cream cheese, vanilla and powdered sugar. Blend until creamy. Frost cake.