Beat cream cheese and butter at medium speed with an electric mixer until blended. Add food coloring, vanilla, and egg yolk, beating well. Add cake mix, and beat until blended.
Shape a portion of the dough into 40 (1-inch) balls, and place on a lightly greased baking sheet. Shape remaining dough into 40 (1/4-inch) balls; attach to larger balls on baking sheet. Gently press a knife dipped in flour down center of each larger ball. Decorate body of ladybugs with chocolate candy sprinkles.
Bake at 375° for 8 to 10 minutes.