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Heat oven to 375°F. Grease 12-cup muffin pan; set aside. Combine milk, 1/3 cup melted butter and egg in bowl. Set aside. Combine flour, 3/4 cup sugar, baking powder, salt and nutmeg in bowl. Add egg mixture; stir just until combined.
Spoon batter into prepared pan. Bake 15-20 minutes or until toothpick inserted comes out clean. Place 1/3 cup melted butter in bowl. Combine 1/2 cup sugar and cinnamon in another bowl. Remove muffins from pan; let stand 2 minutes on cooling rack. Dip tops of warm muffins into melted butter, then into cinnamon sugar mixture. Serve warm with Butter with Canola Oil.
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