I find that insulting to the cultures and people who have used it for a thousand years and continue to do so. I'd rather be pedantic than dismissive of their much older beliefs.
That's extremely surprising. At least here in Lithuania we were taught about it in schools. Also during folk festivals like "Mėnuo Juodaragis" or "Kilkim Žaibu" there are tradesmen, they often have accesories for sale including the sun symbol.
That cake looks pretty fancy for a racist gag. My understanding is that swastikas are pretty widespread as a generic "holy" decoration in India and Asia. I'm wondering if that image isn't originally from a bakery from that region.
Or The Baha'i House of Worship in Wilmette. It was build before WWII. All the rest except one that doesn't exist any more, were built after WWII so we didn't put bent crosses on them.
A Nazi swastika is tilted at 45°, and points to the right (though the one in this cake could point either direction depending on which side you're looking at).
A swastika in this style is a religious symbol used in many eastern faiths and belief systems, including Buddhism.