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Preheat the oven to 350°F. Oil two 9-inch round cake pans, line the bottoms with parchment paper and oil the parchment.
In a large bowl, whisk together 2 cups water, oil, applesauce, vanilla and vinegar. In a medium bowl, whisk together flour, sugars, cocoa, baking soda and salt. Add flour mixture to oil mixture, whisking just until combined. Pour batter evenly into the prepared pans and bake until cakes just bounce back when touched in the center and a toothpick inserted in the center comes out cleans, about 35 minutes. Set aside to let cool completely.
To make the frosting, melt chocolate in a small saucepan over medium-low heat, stirring frequently, until just smooth, 2 to 3 minutes. Stir in sour cream.
Loosen edges of each cake with a knife. Place 1 cake layer (top side up) on a large plate, discarding parchment paper. Top with half of the frosting and then remaining cake and frosting (leave sides unfrosted). Let sit for at least 1 hour to allow frosting to set and then serve.