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In a large mixing bowl whisk together flour, baking powder, salt, nutmeg, and sugar.
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Cut in the butter with a fork.
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In a separate mixing bowl mix together the grated apple, egg, and milk.
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Pour the apple mixture into the flour mixture.
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With a wooden spoon mix until just combined. Try to use the least amount of mixing strokes as possible. Over mixing will make the muffins dense and hard.
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Line a muffin pan with muffin/cupcake liners.
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Fill the cups 3/4 of the way full.
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Bake at 375F. for 20 minutes or until golden on top.