1/2 c. shortening
1 1/2 c. sugar
1 c. milk
1 tsp. salt
1 tsp. vanilla
2 1/4 c. flour
3 tsp. baking powder
4 egg whites

Cream shortening. Gradually add 1 cup sugar, creaming thoroughly. Combine milk and vanilla. Add alternately with dry ingredients to cream mixture, begin and end with dry ingredients. Blend thoroughly after each addition. Beat egg whites until stiff but not dry. Gradually add 1/2 cup sugar beating until dissolved. Fold gently. Pour into 9 x 13 inch pan. Bake at 350 degrees for 40 to 45 minutes.

FROSTING:

2/3 c. butter
4 egg yolks
3 1/2 c. powdered sugar
1 tsp. vanilla
1 lb. peanuts, salted

Cream butter, add powdered sugar, yolks and vanilla. Cut cake into small squares. Cover top and sides with frosting. Roll in nuts or coconut.