Preheat your oven to 350 degrees. Prepare two 9 inch cake pans by spraying them with cooking spray.
Whisk together in a large bowl the flour, baking powder, baking soda, and spices.
Whisk the eggs and sugars together in a large bowl until the sugars are just about dissolved. Now add the oil about a half a cup at a time and whisk in until it’s combined.
Slowly add the flour mixture. Stir in the shredded apple. Pour into the pan and bake for 30 to 35 minutes or until a toothpick inserted in the middle comes out with just a few crumbs.
Let cakes rest in pans for 10 minutes, then remove from pans and transfer to cooling racks. Allow cake to cool completely.
Once completely cool, insert a toothpick halfway up the side of the cake. Do the same two inches further down the side, and again two inches after that until you have toothpicks all around the edge of the cake. Use the toothpicks to guide a serrated knife in cutting the cake into half. Repeat with the second cake so that you have four layers. (See photo)
To make frosting, cream together the cream cheese and the butter in the bowl of a stand mixer. Add the powdered sugar one cup at a time. Then add in the vanilla extract. Divide the frosting into four and top each of the layers with it. On the top layer, make the frosting thicker around the edges to make a rim to hold in the apple topping.
To make the apple topping, combine the ingredients in a small sauce pan over medium heat. Stir consistently until the liquid thickens and the apples are tender. Remove from the sauce pan to a bowl and allow to cool completely before topping the cake with the apples.
Serve immediately or cover loosely and refrigerate for up to three days.