Grease and lightly flour a 10-inch Bundt pan; set aside.
In a medium bowl, combine flour, baking powder and salt.
In a large bowl, beat butter with an electric mixer on medium to high speed for 30 seconds. Slowly add granulated sugar, beating until light and fluffy. Add eggs, one at a time, beating well after each.
Beat in sour cream and almond extract. Beat in flour mixture until batter is smooth.
Spoon half of batter into prepared pan. Spoon apricot preserves over batter in pan, making sure preserves do not touch side of pan. Sprinkle with almonds.
Spoon remaining batter over almonds in pan.
Bake for 55 to 60 minutes or until a toothpick inserted near the center comes out clean.
Cool in pan on a wire rack for 10 minutes. Remove from pan.
Serve warm or cool. Sprinkle with powdered sugar and drizzle with powdered sugar icing.
To prepare icing: In a medium bowl combine sifted powdered sugar, milk and vanilla. Stir in enough additional milk, 1 teaspoon at a time, to make an icing that's easy to drizzle.