Preheat the oven to 350 degrees and line (2) 12 count muffin tins with cupcake liners.

Combine the cake mix, vegetable oil, eggs, and water.

Fill the muffin wells 1/2 full and bake for 18-20 minutes.

Around 18 minutes, insert a toothpick into the cupcakes if it comes out clean the cupcakes are done.

Remove the cupcakes from the oven and let cool.

Line a large baking sheet with parchment paper.

Take one vanilla sugar wafer at a time and gently slice both sides of the top to resemble the point of a pencil. Repeat with all the sugar wafers.

Pour 1/2 of the bright pink candy melts into a microwave-safe dish. Heat in 30-second increments, stirring until melted.

Dip the bottom portion of the sugar wafer into the melted pink chocolate to resemble the pencil's eraser and place on the parchment paper to set.

Pour 1/2 of the bright white candy melts into a microwave-safe dish. Heat in 30-second increments, stirring until melted.

Dip the pointed end into the white chocolate allowing the excess to drip back into the bowl.

Place the vanilla wafer back on the parchment paper to set for a few minutes.

While the white chocolate is setting, use the paring knife to slice the chocolate chips in 1/2. Place a chocolate chip halve on the tip of the pencil.

Repeat with all the sugar wafers.

Attach the frosting tip to the piping bag and fill with white frosting.

Frost each cupcake in a circular motion and place a pencil on top of each cupcake.