Preheat oven to 350°F (180°C). Grease and flour 13 x 9-inch (3 L) metal baking pan. Set aside. In large bowl, combine 1¼ cups (300 mL) of the flour, 1 cup (250 mL) of the sugar, cinnamon, baking soda, salt and nutmeg. Using an electric mixer, beat in oil, 2 eggs and 1 tsp (5 mL) of the vanilla. Stir in carrot. Spread evenly in prepared pan.
In medium bowl, with clean beaters, beat cream cheese with remaining 2 tbsp (30 mL) flour, ¼ cup (50 mL) of sugar, 1 egg and ½ tsp (2 mL) vanilla, until blended. Drop spoonfuls over batter in pan and swirl with the tip of a knife.
Bake 20 to 22 minutes or until cake tester inserted in centre comes out clean. Cool completely on rack. Remove from pan and cut into squares. Store in air-tight container in refrigerator. Serve at room temperature.
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