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Ask Laz: How much does it really cost Apple to make an iPhone 6?

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A reader going by the initials P.C. has a question about the new iPhone 6.

“Could you please find out what it actually costs to manufacture the iPhone 6, compared to what we end up shelling out for it?”

These sort of questions are tough because they almost always fall into the “best guess” category. That said, it’s a safe bet that Apple isn’t losing any money on its super-popular devices.

So the question ultimately is how much profit are they making?

Best guess: Lots.

ASK LAZ: Smart answers to consumer questions

The entry-level, 16-gigabyte version of the iPhone 6 starts at $200 plus a two-year contract -- the same price as the iPhone 5s. The larger iPhone 6 Plus starts at $300 with a two-year contract.

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But that’s misleading because you’re still paying for the phone over the life of much of your contract. What you really need to do is look at the cost of a contract-free, or “unlocked,” iPhone.

T-Mobile lists the starting price of an unlocked iPhone 6 at $649. The starting price for an unlocked 6 Plus is $749.

That’s some serious coin.

As for Apple’s expenses, I’ll turn to a 2012 report from the research firm UBM TechInsights. It looked at the cost of the made-in-China 16 GB iPhone 5’s various components and concluded that Apple shelled out $167.50 to make each of the gadgets. Other reports I’ve seen place the manufacturing cost closer to $200.

So what’s the answer to P.C.’s question? It’s probably not far off the mark to figure that Apple is making at least $400 on every iPhone 6 sold.

My feeling about Apple’s products is that they’re expensive but high quality. You’re paying a premium to be in bed with the company.

And, as with any relationship, as long as you go into it with your eyes open, you probably won’t be disappointed.

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If you have a consumer question, email me at asklaz@latimes.com or contact me via Twitter @Davidlaz

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