Preheat the oven to 350 degrees F. Coat two 8-inch cake pans with nonstick cooking spray. In a large bowl, with an electric beater on medium speed, beat the cake mix, pudding mix, water, oil, and eggs until smooth. Stir in the pineapple then pour the batter into the cake pans, dividing it equally. Bake for 35 to 40 minutes, or until a wooden toothpick inserted in the center comes out clean. Allow to cool for 15 minutes then invert onto wire racks to cool completely.

In a small bowl, combine 3/4 cup of the whipped topping and the strawberries; mix well. Place one cake layer on a serving plate and frost the top with the strawberry mixture. Place the second layer over the first and frost the top and sides with the remaining whipped topping.

Drizzle the cake with the hot fudge. Place the cherries around the edge of the cake and sprinkle evenly with the nuts. Serve immediately, or cover and chill until ready to serve.

NOTE: Warm the hot fudge until it is pourable, but do not allow it to get too hot or it will melt the whipped topping frosting.