A favorite Halloween treat, but caramel apples are great anytime of year!
Prepare apples by washing and removing stems. Push wooden skewers securely into stem end of each apple.
In the top of a double boiler, gently heat caramel and water until completely melted and smooth. Remove caramel from the heat and dip apples, one at a time, into melted caramel to coat.
If desired, dip apple tops into chopped peanuts while caramel is still warm. Place each apple in a cupcake paper.
Place apples in the refrigerator for a few minutes until set.