Preheat the oven to 325F. Grease and flour a 10 inch
tube pan. In a large bowl, cream together the butter
and cream cheese until well blended. Add sugar, and
beat until light and fluffy. Blend in the eggs one at
a time, then stir in the coconut extract. Mix in flour
and baking powder until just moistened, then stir in
coconut. Spoon batter into the prepared pan.
Bake for 1 hour and 20 minutes in the preheated oven,
until a knife inserted into the cake comes out clean.
Allow the cake to cool in the pan for 10 minutes
before inverting onto a cooling rack.