Re: Apple don't make "cheap" products.
OK the answer to your post to try to offer a balance.
iOS costs ? well since it already exists its mostly adding new bits and changing the UI look feel and method.
So if we imagine there are say 1000 people programming iOS changes and they earn say $200,000, thats $200,000,000 a year, last year they sold about 170 million iphones and 65 million ipads. so thats less than $1 a year per unit. allow $5 billion for costs per year and wow thats just over $20 per unit.....
Sorry your figures don't add up, especially when you look at Apples profits last year.