Dice the apples (whether you peel them or not is up to you).
Place all the ingredients in a sauce pan. Set over medium heat.
When the liquid stars to boil, turn down the heat to low and cover the pan. Cook low and slow for about 20 minutes.
When the apples are soft, you may press them down with a fork if you prefer not to have large chunks of apple in your sauce.
Normally, minimal water is required since the apples will liquefy and cook in their own juices. Too much water will dilute the flavors. The thing is that the liquid content varies from one apple variety to another. So the total amount of water you will need to add, if at all, depends on (1) the apple variety you use and (2) how thin or thick you want your applesauce.