In a large bowl, cream butter and sugar until light and fluffy. Add eggs, one at a time, beating well after each addition. Beat in the orange juice, water, orange peel and almond extract. Combine the flour, baking powder and salt; add to creamed mixture and mix well.
Pour into a greased 8-in. square baking dish. Bake at 350° for 30-35 minutes or until a toothpick inserted in the center comes out clean. Remove to a wire rack to cool completely.
For the frosting, combine the confectioners' sugar, butter and enough orange juice to achieve spreading consistency. Frost cake.