Place water, milk and butter in microwaveable bowl and heat until 110° or for 48 seconds.
Add milk mixture to the bread machine bowl.
Add the rest of the ingredients to the milk mixture in the order listed.
Set the bread machine on the dough setting and start.
When dough is done, remove from bowl and divide in two. Roll out on a surface lightly covered in flour and cut the dough into strips about ½" - ¾" wide.
Preheat oven to 375°
Roll up and place on greased cookie sheet. Put a "dent" in the middle of the dough roll.
Add a spoonful of jelly to the center of the danish.
Bake at 375° for 12-15 minutes or until dough starts to turn a golden brown and are cooked through.
Let cool for about 30 minutes.
Mix together water, melted butter and powdered sugar.
Drizzle frosting on top of butterhorn danish.
Serve
Notes
For Stand Mixer:
Add all ingredients as listed above in the order listed (not the filling or frosting ingredients!) to the bowl of the stand mixer. Using the kneading hook, turn the mixer on low.
When ingredients are well blended, turn mixer on medium and let knead for 7 minutes.
When done, cover and let rise in a warm place for 1 hour or until double in size.
Turn out on a floured surface and roll out as listed above.
Before baking, let the rolls rise for another 30 minutes in a warm place, covered.