1 (8 oz.) pkg. cream cheese, softened
1/4 c. sugar
1 egg
2 c. flour
1 1/2 c. sugar
2 tsp. baking soda
2 tsp. cinnamon
1 tsp. salt
1 c. oil
3 eggs
3 c. chopped apples
1/2 c. chopped nuts

Combine cream cheese, 1/4 cup sugar and egg, mixing until well blended. Set aside.

Combine dry ingredients. Add combined oil and eggs, mixing just until moistened. Fold in apples and nuts. Reserve two cups batter. Pour remaining batter into greased and floured ten inch tube or fluted tube pan.

Pour cream cheese mixture over batter; carefully spoon reserved batter over cream cheese mixture, spreading lightly to cover. Bake at 350 degrees for 50 to 55 minutes, or until wooden pick inserted in center comes out clean. Cool ten minutes; remove from pan. Cool thoroughly. Sprinkle with powdered sugar, if desired. 12 servings.