The cake is actually two cakes in one so it makes quite a few servings.
Step 1: Make the Cakes
One cake has to be baked in a bundt pan. It will make the volcano shape.
The other cake will be the base. It can be baked in a 9" x 13" pan or any other shape as long as it ends up with a flat surface wider than the bundt pan.
When the cakes can be released, put the base cake on a solid surface, like a cutting board or cookie tray lined with foil. Than center the bundt cake, narrow end up, on the base.
Now you have a mountain with a hole and you're ready to decorate.
Step 2: Painting Lava
First, frost the entire cake with the base color (brown) frosting. You can go light on the top where the lava will be.
Then, put some of the white frosting in each of three cups and add food coloring to make vivid red, yellow and green frosting.
Now have fun! With a knife and toothpicks paint lava down the sides of the cake with the red and yellow frosting. Try not to mix the colors too much or get the brown in the lava. Create lots of dimension with frosting layers.
When you like what you have, drip more food coloring directly onto the top of your cake and drag it down the mountain with utensils.
Sprinkle the red colored sugar if you're using it.
Use the green frosting and green candies (I used peanut m&m's) to add "shrubs" to the base.
Step 3: Smokin'
Now you can set the cake aside or finish decorating it to be ready for the party.
The key to this smoking volcano is dry ice. Follow the directions for handling until party time and then store in a cooler near the cake.
TAKE OUT THE DRY ICE JUST BEFORE YOU LIGHT THE CANDLES
Chop a piece of dry ice that will fit in the center glass. (You'll probably need to buy a much larger piece than you need, but that's okay because it disappears quickly). Put the dry ice in the center and pour water over it and into the glass. As long as the ice is touching water, there will be smoke. The smoke will naturally curl out and over the sides. It's so cool!
Add more dry ice and water as needed.
Have a smoking good time!