Sift dry ingredients together. Cut in butter until mix is crumbly. Mix milk, vanilla and egg together. Add to dry ingredients and stir until just moistened. In a separate bowl, mix brown sugar and cinnamon. Pour into a greased 8x8 inch pan. Push apples into the batter. Sprinkle on top with sugar and cinnamon mixture. Bake at 350F for 50 – 60 minutes.