Gather all your ingredients to make the process smoother.

In a microwave-safe bowl, combine the caramel sauce and creamy peanut butter. Microwave on high for 30 seconds, stir, and if not smooth, microwave for another 15 seconds.

Pour the warm caramel mixture over the Rice Chex cereal and diced dried apples. Gently fold together without crushing the cereal.

Add the diced dried apples and cinnamon to the mixture and fold them in.

Sprinkle powdered sugar over the mixture, toss until evenly coated, and spread onto a baking sheet lined with parchment paper. Let cool for 30 minutes.