Prepare the Oven and Pan: Preheat your oven to 350°F (175°C). Grease a standard loaf pan (9x5 inch) and line it with parchment paper for easy removal.

Mix Dry Ingredients: In a medium bowl, whisk together the all-purpose flour, baking powder, and salt. Set aside.

Cream Butter and Sugar: In a large bowl, use an electric mixer to cream the softened butter and sugar until light and fluffy, about 2–3 minutes.

Add Eggs and Flavorings: Beat in the eggs, one at a time, until fully incorporated. Add the vanilla extract and coconut extract, mixing until combined.

Incorporate Dry and Wet Ingredients: Gradually add the dry ingredients to the wet ingredients in three additions, alternating with the whole milk and coconut milk. Begin and end with the dry ingredients, mixing just until combined after each addition.

Fold in Shredded Coconut: Gently fold in the shredded sweetened coconut using a spatula, ensuring it is evenly distributed throughout the batter.

Pour into Pan: Pour the batter into the prepared loaf pan and spread it out evenly. If desired, sprinkle the top with unsweetened shredded coconut for an extra touch of texture.

Bake the Cake: Bake in the preheated oven for 50–60 minutes, or until a toothpick inserted into the center comes out clean. Check the cake around the 45-minute mark to ensure it doesn’t overbake.

Cool and Serve: Allow the cake to cool in the pan for 10 minutes before transferring it to a wire rack to cool completely. Slice and enjoy!