Preheat oven 350. Grease 8 inch springform or removable bottom pan.
Beat 1 1/2 c. sugar with the butter, vanilla and cream cheese until smooth.
Add eggs, one a time blending well.
Add flour, baking powder and salt.
Combine 1/4c. sugar and the cinnamon.
Measure out 2 T. of this mixture and toss with the apples. Add apples to the batter.
Pour into the pan and sprinkle the extra cinnamon/sugar mix on top.
Bake at 350 50-55 mins or until toothpick comes out clean.
Cool and serve with ice cream/whipped cream.