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Scald milk, stir in sugar, salt and margarine. Cool to luke warm. Measure warm water into large warm mixing bowl. Sprinkle or crumble in yeast; stir until dissolved. Add lukewarm milk mixture, egg and half the flour. Beat until smooth. Stir in enough additional flour to make a soft dough. Turn dough out onto lightly floured board. Knead until smooth and elastic, about 10 minutes. Place in greased bowl, turning to grease all sides. Cover, let rise in warm place free from draft, until doubled in bulk; about 1 hour. Handle doughnuts as little as possible to prevent falling. Fry in deep fat (375°F) for 2-3 minutes or until brown on both sides. Drain on absorbent paper. While warm, dip in Glaze or Cinnamon-Sugar.
Recipe from The Art of Hungarian Cooking.
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