Preheat oven to 350 degrees F. Grease two large six-cup muffin tins.
In a microwave safe bowl, combine apples, cinnamon and water and microwave for 3-4 minutes. The apples should be slightly tender. Drain apples and toss with 1 cup Marzetti Old Fashioned Caramel Dip.
Divide the apples evenly into each cup.
In a large bowl, combine cake mix, pudding, oil, sour cream and eggs and mix on medium speed until smooth. Spoon the batter evenly over apples.
Baked 15-18 minutes or until a toothpick inserted into the center of each cake comes out clean.
Cool 8 minutes. Invert pan. A few apple pieces may need to be put back into place. Allow cakes to cool.
In a microwave safe container, microwave the remaining Marzetti Old Fashioned Caramel Dip for 10-30 seconds, stirring every 10 seconds. Spoon warm caramel over cakes. Serve with whipped cream or ice cream.