Yup, your yeast cake is whats left over in your primary after you transfer your batch to the secondary. You can either rack another batch of beer over it, or you can collect it, and wash it to save it.
Well now it isn't exactly dry is it? I suppose that it gets the namesake "cake" from the way it looks on the bottom. There are generally layers of spent hops,trub and yeast. Do a search for yeast washing and you will find lots of additional information.