Heat the oven to 350°F (175°C) and grease a 9-by-13-inch baking pan. Mix the red velvet cake mix, eggs, oil, and water until just combined; if using liquor in the cake, replace 2 tablespoons of the water with 2 tablespoons bourbon, dark rum, or Irish cream. Bake for 25–30 minutes, until a toothpick comes out with only a few moist crumbs.

Cool the cake completely for 30–45 minutes. For faster cooling, remove it from the pan and cut it into large pieces before crumbling.

Break the cooled cake into fine crumbs in a large bowl. Stir in the cream cheese frosting gradually, then add the 1/4 cup liquor, stopping when the mixture holds together when pressed but is not wet or paste-like.

Scoop approximately 1 tablespoon of mixture for each cake ball and roll it into a smooth 1-inch ball. Arrange the balls on a parchment-lined tray.

Chill the shaped balls for at least 30 minutes, or freeze them for about 15 minutes, until firm. They should be sturdy enough to dip but not frozen solid.

Melt the coating in the microwave in 20–30-second intervals, stirring thoroughly after each interval. If it is too thick, stir in 1 teaspoon shortening or refined coconut oil, keeping all water away from the melted coating.

Dip each chilled cake ball into the coating, allow the excess to drip off, and return it to the parchment. Add red, white, or silver sprinkles immediately, before the coating sets.

Refrigerate the coated cake balls for about 20 minutes, until firm. Store them in an airtight container in the refrigerator for up to 5 days.