1. In a large bowl combine 2 cups flour, sugar, salt and yeast.
2. Blend well.
3. In a small saucepan, heat water, milk and margarine until very warm (120-130 degrees)
4. Add warm liquid and egg to flour mixture.
5. Blend at low speed until moistened.
6. Beat 3 minutes at medium speed.
7. By hand, stir in an additional 3 cups flour until dough pulls cleanly away from sides of bowl.
8. On floured surface, knead in 1-2 cups flour until dough is smooth and elastic, about 8-10 minutes.
9. Place dough in a greased bowl, cover loosely with plastic wrap and cloth towel.
10. Let rise in a warm place (80-85 degrees) until light and doubled in size ( about 45-60 minutes.)
11. Punch down dough to remove all air bubbles.
12. Divide dough in half, shape each half to variation desired.
This is enough dough to make both German Coffee Cakes.