1 cup milk (110 degrees)
1/4 cup water (110 degrees), plus
1 tablespoon water (110 degrees)
1 egg beaten
3/4 cup white sugar
1 teaspoon salt
1 1/2 teaspoons ground nutmeg
1 tablespoon active dry yeast
3/4 cup jam or jelly
Roll dough out to 1/4-inch thickness. With floured cookie cutter, cut into 2 1/2-inch rounds. Place 1/2 teaspoon jam or jelly in center of half of the rounds. Moisten edges with cold water; top with the remaining rounds, pinch edges together firmly. Place sealed doughnuts on an greased baking sheet. Cover and let rise until doubled in a warm place, about 45 minutes.
This recipe yields 24 doughnuts.