Grease and lightly flour a 13x9x2 cake pan. Combine flour, nutmeg, baking powder, baking soda, and salt. In a mixer bowl, beat together butter and shortening at medium speed about 30 seconds. Add sugar and vanilla and beat until well combined. Add eggs, one at a time, beating 1 minute after each. Add dry ingredients and buttermilk or sour milk alternately, beating on low speed after each addition. Turn into pans. Bake at 350 for about 30 minutes or until cake tests done. Spread Toasted Meringue Topping over hot cake and sprinkle with coconut. Return to oven for 5 minutes or until meringue is golden. Cool on wire rack and store in refrigerator.
Toasted Meringue Topping: