Extra Virgin coconut oil is a great alternative to butter or margarine. While the research is still new, there are indications that extra virgin coconut oil can help raise HDL (good) cholesterol levels. Coconut oil exists in 2 forms: solid and liquid. When put in a cooler shelf area, the oil solidifies, making it a great replacement for butter or margarine in recipes where you need to crumble the fat into the flour to make a coarse mixture. Coconut oil has a smooth, creamy taste, making it a great margarine/butter replacement taste-wise, too. Use the same as margarine or butter, replacing those fats 1 for 1. While extra virgin coconut oil is great for baking, it's not great for pan frying, as high heat causes the oil to smoke.