It's really sad to think that people believe these estimated bill of materials figures actually represent the total cost of producing a phone-or any product.
But that's the world we live in.
Well of course its not the total cost. Doesn't include R&D or actual production costs (labor). Even so - let's say it costs $300 total (I highly doubt it's that much) for the 16GB iPhone 5. Apple gets $600-$700 per sale. That's still over a 100% markup.