Combine milk and coconut and let stand at room temperature for 30 minutes. Grease and flour a 9"x5" loaf pan. In a medium bowl, combine all-purpose flour, baking powder, and baking soda. Stir to get well mixed. Preheat oven to 350&#176F (180°C).

Place butter and sugar in a large bowl. Beat until light and fluffy, about 2 minutes. Beat in eggs, one at a time until combined. Add orange zest and pour in half of the coconut mixture and half of the flour. Stir to mix. Add the remaining coconut mixture and flour and stir until batter is smooth.

Pour batter into prepared pan. Bake for 1 hour 10 minutes or until wooden pick inserted in the center comes out clean. Cool in the pan for 10 minutes, remove and cool on wire rack.

For the orange frosting, combine butter, powdered sugar, and orange juice in a medium sized bowl. Stir until it forms a spreadable consistency.

When cake is completely cooled, spread the top of the cake with frosting. Decorate with orange wedges, if desired.