Lambros:
As part of the safety inspection, the tech checks for "wiggle" in the steering parts; ball joints or link pins, tie-rod ends and so forth. If they detect any kind of play at all (and YOU may not feel it while driving) then they generally replace what's worn, typically (on VW front ends) one or more tie-rod ends (and they may replace the rod if the threaded ends are really rusted). I honestly haven't ever seen a VW ball joint wear out, since the front end is so light, but I'm sure a few of them do now and then if they're never lubed.
I agree with Joe - My wife's Honda dealer charges $82/hr labor alone (I almost fainted and am now fixing her Honda myself) so fixing all that stuff AND doing a front-end alignment for $400 ain't all that bad.
What caused me to almost faint was the 60,000 mile service bill from Honda (warranty ran out at 50,000 miles ) for a mere $910. (!?!?!?!)