1Heat oven to 350°F (325°F for dark or nonstick pan). Make and bake cake mix as directed on box for 13x9-inch pan, using water, oil and eggs. Cool completely.
2Line cookie sheets with waxed paper. Crumble cake into large bowl. Add frosting and 1/2 cup of the sprinkles; mix well. Shape into 48 (1 1/4-inch) balls. Press 1 fruit snack into each ball, covering completely; place on cookie sheets. Freeze until firm; transfer to refrigerator.
3In medium microwavable bowl, microwave 1 bag of candy melts uncovered on Medium (50%) 1 minute, then in 15-second increments, until melted; stir until smooth. Remove several cake balls from refrigerator at a time. Dip cake balls into melted candy to cover; tap off excess. Place on cooking parchment paper. Immediately sprinkle with some of the remaining 1/2 cup sprinkles. Let stand until set. Repeat with remaining bag of candy melts, cake balls and sprinkles.