Preheat oven to 350°.
Lightly grease cupcake tins or two 8 inch cake pans.
In a mixing bowl add butter and the sugar.
Using a hand mixer on medium speed, cream the butter and sugar until well combined, for about 30 seconds, stopping occasionally to scrape the sides of the bowl with a rubber spatula.
Add the eggs, one at a time, and beat for about 30 seconds until light and fluffy, stopping once to scrape down the sides of the bowl.
Add the vanilla extract and the yogurt.
Beat on low speed for 30 seconds, until well creamed and smooth, stopping once to scrape down the sides of the bowl.
Add lukewarm water and continue to beat for 30 seconds.
In a separate bowl, measure the flour, baking soda, and baking powder and sift in to the creamed mixture and mix on low speed for about 45 seconds, stopping once or twice to scrape down the sides of the bowl, until the mixture is well blended.
Fold in 1 cup chocolate chips.
Fill cupcake tins half way or divide between two cake pans.
Bake cupcakes for 22- 25 minutes or cake for 32-45 minutes, until tester inserted comes out clean.
Let cake cool in pans on a wire rack for 15- 20 minutes.
Remove from pans and cool completely before frosting with your favorite chocolate frosting.
Garnish with chocolate chips.