Preheat Oven: Preheat oven to 356ºF (180ºC). Line a round 8 inch baking pan with parchment paper, set aside. Note: Alternatively, if you have a non-stick pan, liberally grease it with softened butter and dust it with a light layer of flour, tapping off excess. This will leave your finished cake with smooth sides.
Mix Dry Ingredients: In a medium-size mixing bowl, sift together flour, cornstarch, and baking powder. Whisk in the salt until well combined. Set aside.
Beat Butter & Sugar: In a large mixing bowl using electric hand beaters or a stand mixer with the paddle or whisk attachment, beat the softened butter and sugar on medium speed for 2 minutes until pale and creamy, scraping down the sides as needed.
Incorporate Eggs: Add eggs one at a time, beating for 10 seconds after each addition. Scrape down the sides as needed.
Add Liquids: Pour in milk, oil, and vanilla. Beat for 10 seconds until well combined. Scrape down the sides again.
Combine with Dry Ingredients: Add half of the dry flour mixture and beat until just combined, leaving some flour visible and not mixed in. Add the remaining flour. Beat on low speed until just incorporated, ensuring not to over-beat, just until the flour has combined then turn off the beater. If some excess flour is still visible around the sides of the bowl, gently fold it in with a spatula. Over-beating can make the cake tough and dense after baking.
Add Sprinkles: Add the sprinkles and gently fold them into the batter until distributed. Do not over-mix.
Pour and Smooth: Pour the batter into the lined pan and smooth out the top with a spatula.
Bake: Bake for 38-40 minutes, or until a skewer inserted into the middle comes out clean and the top brings back in the middle when lightly pressed.
Cool: Remove from oven and allow to cool in the pan for 15 minutes.
Transfer to Cool: Carefully remove from pan and transfer to a wire rack to cool completely before frosting.