1 c. sugar
1/4 c. butter
1 egg
1 c. flour
1/2 tsp. salt
1 tsp. baking soda
1/2 tsp. nutmeg
1/2 tsp. cinnamon
2 c. diced apples
1/2 c. nuts

Cream sugar, butter and egg. Sift dry ingredients. Add to creamed mixture. Fold in apples and nuts. Pour mixture in an 8 inch pan. Bake at 325 for 45 minutes.

SAUCE:

1/4 c. butter
1/2 c. sugar
1 tsp. flour
1/2 c. brown sugar
1/2 c. light cream or milk
1 tsp. vanilla

Combine above ingredients and boil until thick. Serve warm over cake.