Melt caramel in the microwave.I used the caramel bits, Add water to the caramel bits (or candies if you're using them). 2 tablespoons of water per bag of caramel bits or candies. Zap it in the microwave for approx. 3 minutes. Stir after each minute, and stop heating it as soon as it's all melted.  

Dip the apples in caramel.You can spoon some of the caramel on, too. Lift the apple out of the caramel and let the excess drip off. I scrape the bottom with a spoon, too. The caramel will continue to drip down, and will pool on the pan some as it hardens. So, scrape some off of the bottom now to keep too much caramel from building up at the bottom.  

Roll the apples in chopped nuts, candies, or cookies. Use your hand to press the goodies in and help them stay in place. Place the apples on waxed paper or aluminum foil that's been greased or coated with cooking spray. As some of the caramel drifts down and pools on the bottom, it will take these toppings with it. So, you may need to go back and gently pull the toppings back up and pat them back into the caramel. I ended up doing this a few times. Eventually the caramel hardens enough that everything stays put.

Melt chocolate chips (or other flavored chips).

Drizzle the apples with melted chocolate or other flavors.