Baked Swedish Meatballs for 50

MEATBALLS:
1 1/2 pounds ground beef
1/2 cup chopped onion
1/2 cup plain bread crumbs
1/2 cup water
1 large egg, lightly beaten
2 tablespoons dry NESTLE® CARNATION® Instant Non-fat Dry Milk
1 teaspoon garlic salt
1/4 teaspoon ground nutmeg

GRAVY:
vegetable oil
1/2 cup all-purpose flour
2 1/2 cups beef broth
1 cup NESTLE® CARNATION® Evaporated Milk
1/4 teaspoon dried dill weed
1/4 teaspoon ground black pepper
dry noodles, cooked and drained

FOR MEATBALLS: PREHEAT oven to 350 degrees F. MIX all meatball ingredients lightly but thoroughly in medium bowl. Shape into 2-inch balls. Place in jelly-roll pan.

BAKE for 20 to 25 minutes or until no longer pink. Drain; reserve fat drippings. Keep meatballs warm.

FOR GRAVY: COMBINE 1/2 cup fat drippings from meatballs (adding vegetable oil to make 1/2 cup) and flour in large saucepan. Cook over medium heat, stirring constantly, until mixture comes to a boil. Boil for 1 to 2 minutes. Stir in broth, evaporated milk, dill and pepper. Cook, stirring constantly, until mixture comes to a boil and thickens slightly. Add meatballs to sauce; stir. Serve over noodles.