2/3 cup margarine
1 2/3 cup sugar
3 eggs
1/2 teaspoon vanilla
2 cups flour
2/3 cup cocoa
1 1/4 teaspoon baking soda
1 teaspoon salt
1 1/3 cup water
1/2 cup crushed peppermint candy (optional)

Beat first 4 ingrediants with a mixer at high speed for 3 minutes.  Combine dry ingredients.  Add alternatively with water to creamed mixture.  Blend just until combined.  Add candy.  Pour into greased and cocoa dusted 9 inch cake pans.  Bake at 350 degrees for 30-35 minutes.

Chocolate Fudge Frosting:
Melt 1/2 cup margarine in 2 quart heavy sauce pan.  Add 5 tablespoons cocoa and 5 tablespoons of milk.  Stir well.  Bring mixture to a boil.  Remove from heat.  Add 1 pound package confectioners sugar and 1 teaspoon vanilla.  Beat until smooth.  Makes plenty for 9 inch cake.