MUNICIPAL INVESTMENT TR FD MULTISTATE SER 319 DEF ASSET FDS, 497, 1999-03-02

MUNICIPAL INVESTMENT TR FD MULTISTATE SER 319 DEF ASSET FDS
497, 1999-03-02

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<PAGE>
DEFINED ASSET FUNDSSM
- --------------------------------------------
- ----------------------------------

MUNICIPAL INVESTMENT TRUST FUND
MULTISTATE SERIES--319
(A UNIT INVESTMENT TRUST)
O CALIFORNIA, NEW JERSEY AND NEW YORK PORTFOLIOS
O PORTFOLIOS OF INTERMEDIATE AND LONG-TERM
MUNICIPAL BONDS
O DESIGNED FOR FEDERALLY TAX-FREE INCOME
O EXEMPT FROM SOME STATE TAXES
O MONTHLY DISTRIBUTIONS

SPONSORS:
Merrill Lynch,
Pierce, Fenner & Smith -------------------------------------------------
Incorporated The Securities and Exchange Commission has not
Salomon Smith Barney Inc. approved or disapproved these Securities or
Prudential Securities passed upon the adequacy of this prospectus. Any
Incorporated representation to the contrary is a criminal
PaineWebber Incorporated offense.
Dean Witter Reynolds Inc. Prospectus dated February 26, 1999.

<PAGE>
- --------------------------------------------------------------------------------

Defined Asset FundsSM
Defined Asset FundsSM is America's oldest and largest family of unit investment
trusts, with over $115 billion sponsored over the last 25 years. Defined Asset
Funds has been a leader in unit investment trust research and product
innovation. Our family of Funds helps investors work toward their financial
goals with a full range of quality investments, including municipal, corporate
and government bond portfolios, as well as domestic and international equity
portfolios.

Defined Asset Funds offer a number of advantages:
o A disciplined strategy of buying and holding with a long-term view is the
cornerstone of Defined Asset Funds.
o Fixed portfolio: Defined Funds follow a buy and hold investment strategy;
funds are not managed and portfolio changes are limited.
o Defined Portfolios: We choose the stocks and bonds in advance, so you know
what you're investing in.
o Professional research: Our dedicated research team seeks out stocks or bonds
appropriate for a particular fund's objectives.
o Ongoing supervision: We monitor each portfolio on an ongoing basis.
No matter what your investment goals, tolerance for risk or time horizon,
there's probably a Defined Asset Fund that suits your investment style. Your
financial professional can help you select a Defined Asset Fund that works best
for your investment portfolio.

THE FINANCIAL INFORMATION IN THIS PROSPECTUS IS AS OF NOVEMBER 30, 1998, THE
EVALUATION DATE.

CONTENTS
PAGE
-----------
California Intermediate Insured Portfolio--
Risk/Return Summary.................................. 3
California Insured Portfolio-- Risk/Return Summary...... 6
New Jersey Insured Portfolio-- Risk/Return Summary...... 9
New York Portfolio--
Risk/Return Summary.................................. 12
What You Can Expect From Your Investment................ 16
Monthly Income....................................... 16
Return Figures....................................... 16
Records and Reports.................................. 16
The Risks You Face...................................... 17
Interest Rate Risk................................... 17
Call Risk............................................ 17
Reduced Diversification Risk......................... 17
Liquidity Risk....................................... 17
Concentration Risk................................... 17
State Concentration Risk............................. 18
Bond Quality Risk.................................... 20
Insurance Related Risk............................... 20
Litigation and Legislation Risks..................... 20
Selling or Exchanging Units............................. 20
Sponsors' Secondary Market........................... 21
Selling Units to the Trustee......................... 21
Exchange Option...................................... 22
How The Fund Works...................................... 22
Pricing.............................................. 22
Evaluations.......................................... 22
Income............................................... 22
Expenses............................................. 23
Portfolio Changes.................................... 23
Fund Termination..................................... 24
Certificates......................................... 24
Trust Indenture...................................... 24
Legal Opinion........................................ 25
Auditors............................................. 25
Sponsors............................................. 25
Trustee.............................................. 25
Underwriters' and Sponsors' Profits 26
Public Distribution.................................. 26
Code of Ethics....................................... 26
Year 2000 Issues..................................... 26
Taxes................................................... 26
Supplemental Information................................ 28
Financial Statements.................................... D-1

2
<PAGE>
- --------------------------------------------------------------------------------

CALIFORNIA INTERMEDIATE INSURED PORTFOLIO--RISK/RETURN SUMMARY

1. WHAT IS THE FUND'S OBJECTIVE?
The Fund seeks interest income that is exempt from regular
federal income taxes and some state and local taxes by
investing in a fixed portfolio consisting primarily of
insured, intermediate term municipal revenue bonds with an
estimated average life of approximately 11 years.
2. WHAT ARE MUNICIPAL REVENUE BONDS?
Municipal revenue bonds are bonds issued by states,
municipalities and public authorities to finance the cost
of buying, building or improving various projects intended
to generate revenue, such as airports, health care
facilities, housing and municipal electric, water and sewer
utilities. Generally, payments on these bonds depend solely
on the revenues generated by the projects, excise taxes or
state appropriations, and are not backed by the
government's taxing power.

3. WHAT IS THE FUND'S INVESTMENT STRATEGY?
O The Fund plans to hold to maturity 9 intermediate-term
tax-exempt municipal bonds, and some short-term bonds
reserved to pay the deferred sales fee, with an aggregate
face amount of $3,370,000.
o The Fund is a unit investment trust which means that,
unlike a mutual fund, the Portfolio is not managed.
o The bonds are rated AAA or Aaa by Standard & Poor's,
Moody's or Fitch.
o Many of the bonds can be called at a premium declining over
time to par value. Some bonds may be called earlier at par
for extraordinary reasons.
o 100% of the bonds are insured by insurance companies that
guarantee timely payments of principal and interest on the
bonds (but not Fund units or the market value of the bonds
before they mature).

The Portfolio consists of municipal bonds of the following
types:

APPROXIMATE
PORTFOLIO
PERCENTAGE

/ / General Obligation 7%
/ / Hospital/Health Care 15%
/ / Lease Rental Appropriation 31%
/ / Municipal Water/Sewer Utilities 22%
/ / Tax Allocation 25%

4. WHAT ARE THE SIGNIFICANT RISKS?
YOU CAN LOSE MONEY BY INVESTING IN THE FUND. THIS CAN
HAPPEN FOR VARIOUS REASONS, INCLUDING:
o Rising interest rates, an issuer's worsening financial
condition or a drop in bond ratings can reduce the price of
your units.
o Because the Fund is concentrated in lease rental
appropriation and tax allocation bonds, adverse
developments in these sectors may affect the value of your
units.
o Assuming no changes in interest rates, when you sell your
units, they will generally be worth less than your cost
because your cost included a sales fee.
o The Fund will receive early returns of principal if bonds
are called or sold before they mature. If this happens your
income will decline and you may not be able to reinvest the
money you receive at as high a yield or as long a maturity.

ALSO, THE PORTFOLIO IS CONCENTRATED IN BONDS OF CALIFORNIA
SO IT IS LESS DIVERSIFIED THAN A NATIONAL FUND AND IS
SUBJECT TO RISKS PARTICULAR TO CALIFORNIA WHICH ARE BRIEFLY
DESCRIBED UNDER STATE CONCENTRATION RISKS LATER IN THIS
PROSPECTUS.

3
<PAGE>

5. IS THIS FUND APPROPRIATE FOR YOU?
Yes, if you want federally tax-free income. You will
benefit from a professionally selected and supervised
portfolio whose risk is reduced by investing in insured
bonds of several different issuers.
The Fund is not appropriate for you if you want a
speculative investment that changes to take advantage of
market movements, if you do not want a tax-advantaged
investment or if you cannot tolerate any risk.

DEFINING YOUR INCOME

WHAT YOU MAY EXPECT (Payable on the 25th day of
the month to holders of record on the 10th day
of the month):
Regular Monthly Income per unit $ 3.77
Annual Income per unit: $ 45.32
These figures are estimates determined on the evaluation
day; actual payments may vary.

6. WHAT ARE THE FUND'S FEES AND EXPENSES?
This table shows the costs and expenses you may pay,
directly or indirectly, when you invest in the Fund.
INVESTOR FEES
Maximum Sales Fee (Load) on new
purchases (as a percentage of
$1,000 invested) 2.75%
You will pay a deferred sales fee of $3.75 per unit
quarterly November, February, May and August through
February, 2001. Employees of some of the Sponsors and their
affiliates may pay a reduced sales fee of no less than $5.00
per unit.
The maximum sales fee is reduced if you invest at least
$100,000, as follows:

YOUR MAXIMUM
SALES FEE
IF YOU INVEST: WILL BE:
----------------------------------- -----------------
Less than $100,000 2.75%
$100,000 to $249,999 2.50%
$250,000 to $499,999 2.25%
$500,000 to $999,999 2.00%
$1,000,000 and over 1.75%

Maximum Exchange Fee 1.75%

ESTIMATED ANNUAL FUND OPERATING EXPENSES

AMOUNT
PER UNIT
-----------
$ 0.72
Trustee's Fee
$ 0.46
Portfolio Supervision,
Bookkeeping and
Administrative Fees
(including updating
expenses)
$ 0.40
Evaluator's Fee
$ 0.20
Organization Costs
$ 0.84
Other Operating Expenses
-----------
$ 2.62
TOTAL

The Sponsors historically paid organization costs and
updating expenses.
7. HOW HAVE SIMILAR FUNDS PERFORMED IN THE PAST?
In the following chart we show past performance of prior
California Portfolios, which had investment objectives,
strategies and types of bonds substantially similar to
this Fund. These prior Series differed in that they
charged a higher sales fee. These prior California Series
were offered between June 22, 1988 and September 27, 1996
and were outstanding on December 31, 1998. OF COURSE, PAST
PERFORMANCE OF PRIOR SERIES IS NO GUARANTEE OF FUTURE
RESULTS OF THIS FUND.
AVERAGE ANNUAL COMPOUND TOTAL RETURNS
FOR PRIOR SERIES
Reflecting all expenses. For periods ended 12/31/98.

WITH SALES FEE NO SALES FEE
1 YEAR 5 YEARS 10 YEARS 1 YEAR 5 YEARS 10 YEARS

- -------------------------------------------------------------------

High 4.90% 5.03% 6.89% 7.72% 6.21% 7.48%
Average 2.54 4.30 6.87 5.81 5.32 7.46
Low 0.60 3.70 6.83 3.45 4.53 7.43

- -------------------------------------------------------------------

Average
Sales fee 3.24% 5.09% 5.82%

- -------------------------------------------------------------------

Note: All returns represent changes in unit price with distributions reinvested
into the Municipal Fund Investment Accumulation Program.

8. IS THE FUND MANAGED?
Unlike a mutual fund, the Fund is not managed and bonds are
not sold because of market changes. Rather, experienced
Defined Asset Funds financial analysts regularly review the
bonds in the Fund. The Fund may sell a bond if certain
adverse credit or other conditions exist.

4
<PAGE>

11. HOW ARE DISTRIBUTIONS MADE AND TAXED?
The Fund pays income monthly.
In the opinion of bond counsel when each bond was issued,
interest on the bonds in this Fund is generally 100% exempt
from regular federal income tax. Your income may also be
exempt from some California state and local personal income
taxes if you live in California.
You will also receive principal payments if bonds are sold
or called or mature, when the cash available is more than
$5.00 per unit. You will be subject to tax on any gain
realized by the Fund on the disposition of bonds.
12. WHAT OTHER SERVICES ARE AVAILABLE?
REINVESTMENT
You will receive your income in cash unless you choose to
compound your income by reinvesting at no sales fee in the
Municipal Fund Investment Accumulation Program, Inc. This
program is an open-end mutual fund with a comparable
investment objective, but the bonds will generally not be
insured. Income from this program will generally be subject
to state and local income taxes. For more complete
information about the program, including charges and fees,
ask the Trustee for the program's prospectus. Read it
carefully before you invest. The Trustee must receive your
written election to reinvest at least 10 days before the
record day of an income payment.
EXCHANGE PRIVILEGES
You may exchange units of this Fund for units of certain
other Defined Asset Funds. You may also exchange into this
Fund from certain other funds. We charge a reduced sales fee
on exchanges.

5
<PAGE>
- --------------------------------------------------------------------------------

CALIFORNIA INSURED PORTFOLIO--RISK/RETURN SUMMARY

1. WHAT IS THE FUND'S OBJECTIVE?
The Fund seeks interest income that is exempt from regular
federal income taxes and some state and local taxes by
investing in a fixed portfolio consisting primarily of
insured, long term municipal revenue bonds.
2. WHAT ARE MUNICIPAL REVENUE BONDS?
Municipal revenue bonds are bonds issued by states,
municipalities and public authorities to finance the cost
of buying, building or improving various projects intended
to generate revenue, such as airports, health care
facilities, housing and municipal electric, water and sewer
utilities. Generally, payments on these bonds depend solely
on the revenues generated by the projects, excise taxes or
state appropriations, and are not backed by the
government's taxing power.

3. WHAT IS THE FUND'S INVESTMENT STRATEGY?
O The Fund plans to hold to maturity 10 long-term tax-exempt
municipal bonds, and some short-term bonds reserved to pay
the deferred sales fee, with an aggregate face amount of
$4,750,000.
o The Fund is a unit investment trust which means that,
unlike a mutual fund, the Portfolio is not managed.
o The bonds are rated AAA or Aaa by Standard & Poor's,
Moody's or Fitch.
o Many of the bonds can be called at a premium declining over
time to par value. Some bonds may be called earlier at par
for extraordinary reasons.
o 100% of the bonds are insured by insurance companies that
guarantee timely payments of principal and interest on the
bonds (but not Fund units or the market value of the bonds
before they mature).

The Portfolio consists of municipal bonds of the following
types:

APPROXIMATE
PORTFOLIO
PERCENTAGE

/ / Hospital/Health Care 31%
/ / Housing 15%
/ / Lease Rental Appropriation 19%
/ / Municipal Water/Sewer Utilities 19%
/ / Special Tax 16%

4. WHAT ARE THE SIGNIFICANT RISKS?
YOU CAN LOSE MONEY BY INVESTING IN THE FUND. THIS CAN
HAPPEN FOR VARIOUS REASONS, INCLUDING:
o Rising interest rates, an issuer's worsening financial
condition or a drop in bond ratings can reduce the price of
your units.
o Because the Fund is concentrated in hospital/health care
bonds, adverse developments in this sector may affect the
value of your units.
o Assuming no changes in interest rates, when you sell your
units, they will generally be worth less than your cost
because your cost included a sales fee.
o The Fund will receive early returns of principal if bonds
are called or sold before they mature. If this happens your
income will decline and you may not be able to reinvest the
money you receive at as high a yield or as long a maturity.

6
<PAGE>

DEFINING YOUR INCOME

WHAT YOU MAY EXPECT (Payable on the 25th day of
the month to holders of record on the 10th day
of the month):
Regular Monthly Income per unit $ 4.03
Annual Income per unit: $ 48.42
These figures are estimates determined on the evaluation
day; actual payments may vary.

6. WHAT ARE THE FUND'S FEES AND EXPENSES?
This table shows the costs and expenses you may pay,
directly or indirectly, when you invest in the Fund.
INVESTOR FEES
Maximum Sales Fee (Load) on new
purchases (as a percentage of
$1,000 invested) 2.90%
You will pay a deferred sales fee of $3.75 per unit
quarterly November, February, May and August through
February, 2001. Employees of some of the Sponsors and their
affiliates may pay a reduced sales fee of no less than $5.00
per unit.
The maximum sales fee is reduced if you invest at least
$100,000, as follows:

YOUR MAXIMUM
SALES FEE
IF YOU INVEST: WILL BE:
----------------------------------- -----------------
Less than $100,000 2.90%
$100,000 to $249,999 2.65%
$250,000 to $499,999 2.40%
$500,000 to $999,999 2.15%
$1,000,000 and over 1.90%

Maximum Exchange Fee 1.90%

ESTIMATED ANNUAL FUND OPERATING EXPENSES

AMOUNT
PER UNIT
-----------
$ 0.73
Trustee's Fee
$ 0.46
Portfolio Supervision,
Bookkeeping and
Administrative Fees
(including updating
expenses)
$ 0.29
Evaluator's Fee
$ 0.20
Organization Costs
$ 0.66
Other Operating Expenses
-----------
$ 2.34
TOTAL

WITH SALES FEE NO SALES FEE
1 YEAR 5 YEARS 10 YEARS 1 YEAR 5 YEARS 10 YEARS

- -------------------------------------------------------------------

High 4.90% 5.03% 6.89% 7.72% 6.21% 7.48%
Average 2.54 4.30 6.87 5.81 5.32 7.46
Low 0.60 3.70 6.83 3.45 4.53 7.43

- -------------------------------------------------------------------

Average
Sales fee 3.24% 5.09% 5.82%

- -------------------------------------------------------------------

Note: All returns represent changes in unit price with distributions reinvested
into the Municipal Fund Investment Accumulation Program.

7
<PAGE>

11. HOW ARE DISTRIBUTIONS MADE AND TAXED?
The Fund pays income monthly.
In the opinion of bond counsel when each bond was issued,
interest on the bonds in this Fund is generally 100% exempt
from regular federal income tax. Your income may also be
exempt from some California state and local personal income
taxes if you live in California.
You will also receive principal payments if bonds are sold
or called or mature, when the cash available is more than
$5.00 per unit. You will be subject to tax on any gain
realized by the Fund on the disposition of bonds.
12. WHAT OTHER SERVICES ARE AVAILABLE?
REINVESTMENT
You will receive your income in cash unless you choose to
compound your income by reinvesting at no sales fee in the
Municipal Fund Investment Accumulation Program, Inc. This
program is an open-end mutual fund with a comparable
investment objective. Income from this program will
generally be subject to state and local income taxes. For
more complete information about the program, including
charges and fees, ask the Trustee for the program's
prospectus. Read it carefully before you invest. The Trustee
must receive your written election to reinvest at least 10
days before the record day of an income payment.
EXCHANGE PRIVILEGES
You may exchange units of this Fund for units of certain
other Defined Asset Funds. You may also exchange into this
Fund from certain other funds. We charge a reduced sales fee
on exchanges.

8
<PAGE>
- --------------------------------------------------------------------------------

NEW JERSEY INSURED PORTFOLIO--RISK/RETURN SUMMARY

1. WHAT IS THE FUND'S OBJECTIVE?
The Fund seeks interest income that is exempt from regular
federal income taxes and some state and local taxes by
investing in a fixed portfolio consisting primarily of
insured, long term municipal revenue bonds.
2. WHAT ARE MUNICIPAL REVENUE BONDS?
Municipal revenue bonds are bonds issued by states,
municipalities and public authorities to finance the cost
of buying, building or improving various projects intended
to generate revenue, such as airports, health care
facilities, housing and municipal electric, water and sewer
utilities. Generally, payments on these bonds depend solely
on the revenues generated by the projects, excise taxes or
state appropriations, and are not backed by the
government's taxing power.

3. WHAT IS THE FUND'S INVESTMENT STRATEGY?
O The Fund plans to hold to maturity 10 long-term tax-exempt
municipal bonds, and some short-term bonds reserved to pay
the deferred sales fee, with an aggregate face amount of
$3,615,000.
o The Fund is a unit investment trust which means that,
unlike a mutual fund, the Portfolio is not managed.
o The bonds are rated AAA or Aaa by Standard & Poor's,
Moody's or Fitch.
o Many of the bonds can be called at a premium declining over
time to par value. Some bonds may be called earlier at par
for extraordinary reasons.
o 100% of the bonds are insured by insurance companies that
guarantee timely payments of principal and interest on the
bonds (but not Fund units or the market value of the bonds
before they mature).

The Portfolio consists of municipal bonds of the following
types:

APPROXIMATE
PORTFOLIO
PERCENTAGE

/ / Airport/Port/Highway 30%
/ / General Obligation 3%
/ / Hospital/Health Care 22%
/ / Housing 15%
/ / Lease Rental Appropriation 14%
/ / Municipal Water/Sewer Utilities 16%

4. WHAT ARE THE SIGNIFICANT RISKS?
YOU CAN LOSE MONEY BY INVESTING IN THE FUND. THIS CAN
HAPPEN FOR VARIOUS REASONS, INCLUDING:
o Rising interest rates, an issuer's worsening financial
condition or a drop in bond ratings can reduce the price of
your units.
o Because the Fund is concentrated in airport/port/highway
bonds, adverse developments in this sector may affect the
value of your units.
o Assuming no changes in interest rates, when you sell your
units, they will generally be worth less than your cost
because your cost included a sales fee.
o The Fund will receive early returns of principal if bonds
are called or sold before they mature. If this happens your
income will decline and you may not be able to reinvest the
money you receive at as high a yield or as long a maturity.

ALSO, THE PORTFOLIO IS CONCENTRATED IN BONDS OF NEW JERSEY
SO IT IS LESS DIVERSIFIED THAN A NATIONAL FUND AND IS
SUBJECT TO RISKS PARTICULAR TO NEW JERSEY WHICH ARE BRIEFLY
DESCRIBED UNDER STATE CONCENTRATION RISKS LATER IN THIS
PROSPECTUS.

9
<PAGE>

DEFINING YOUR INCOME

WHAT YOU MAY EXPECT (Payable on the 25th day of
the month to holders of record on the 10th day
of the month):
Regular Monthly Income per unit $ 4.02
Annual Income per unit: $ 48.30
These figures are estimates determined on the evaluation
day; actual payments may vary.

6. WHAT ARE THE FUND'S FEES AND EXPENSES?
This table shows the costs and expenses you may pay,
directly or indirectly, when you invest in the Fund.
INVESTOR FEES
Maximum Sales Fee (Load) on new
purchases (as a percentage of
$1,000 invested) 2.90%
You will pay a deferred sales fee of $3.75 per unit
quarterly November, February, May and August through
February, 2001. Employees of some of the Sponsors and their
affiliates may pay a reduced sales fee of no less than $5.00
per unit.
The maximum sales fee is reduced if you invest at least
$100,000, as follows:

Maximum Exchange Fee 1.90%

ESTIMATED ANNUAL FUND OPERATING EXPENSES

AMOUNT
PER UNIT
-----------
$ 0.72
Trustee's Fee
$ 0.46
Portfolio Supervision,
Bookkeeping and
Administrative Fees
(including updating
expenses)
$ 0.37
Evaluator's Fee
$ 0.20
Organization Costs
$ 0.78
Other Operating Expenses
-----------
$ 2.53
TOTAL

The Sponsors historically paid organization costs and
updating expenses.
7. HOW HAVE SIMILAR FUNDS PERFORMED IN THE PAST?
In the following chart we show past performance of prior
New Jersey Portfolios, which had investment objectives,
strategies and types of bonds substantially similar to
this Fund. These prior Series differed in that they
charged a higher sales fee. These prior New Jersey Series
were offered between March 30, 1988 and September 19, 1996
and were outstanding on December 31, 1998. OF COURSE, PAST
PERFORMANCE OF PRIOR SERIES IS NO GUARANTEE OF FUTURE
RESULTS OF THIS FUND.
AVERAGE ANNUAL COMPOUND TOTAL RETURNS
FOR PRIOR SERIES
Reflecting all expenses. For periods ended 12/31/98.

WITH SALES FEE NO SALES FEE
1 YEAR 5 YEARS 10 YEARS 1 YEAR 5 YEARS 10 YEARS

- -------------------------------------------------------------------

High 5.43% 4.75% 6.99% 7.57% 5.91% 7.59%
Average 2.81 4.17 6.87 5.70 5.19 7.46
Low 0.74 3.59 6.74 3.85 4.47 7.33

- -------------------------------------------------------------------

Average
Sales fee 2.86% 5.11% 5.70%

- -------------------------------------------------------------------

Note: All returns represent changes in unit price with distributions reinvested
into the Municipal Fund Investment Accumulation Program.

10
<PAGE>

11. HOW ARE DISTRIBUTIONS MADE AND TAXED?
The Fund pays income monthly.
In the opinion of bond counsel when each bond was issued,
interest on the bonds in this Fund is generally 100% exempt
from regular federal income tax. Your income may also be
exempt from some New Jersey state and local personal income
taxes if you live in New Jersey.
You will also receive principal payments if bonds are sold
or called or mature, when the cash available is more than
$5.00 per unit. You will be subject to tax on any gain
realized by the Fund on the disposition of bonds.
12. WHAT OTHER SERVICES ARE AVAILABLE?
REINVESTMENT
You will receive your income in cash unless you choose to
compound your income by reinvesting at no sales fee in the
Municipal Fund Investment Accumulation Program, Inc. This
program is an open-end mutual fund with a comparable
investment objective, but the bonds generally will not be
insured. Income from this program will generally be subject
to state and local income taxes. For more complete
information about the program, including charges and fees,
ask the Trustee for the program's prospectus. Read it
carefully before you invest. The Trustee must receive your
written election to reinvest at least 10 days before the
record day of an income payment.
EXCHANGE PRIVILEGES
You may exchange units of this Fund for units of certain
other Defined Asset Funds. You may also exchange into this
Fund from certain other funds. We charge a reduced sales fee
on exchanges.

11
<PAGE>
- --------------------------------------------------------------------------------

NEW YORK PORTFOLIO--RISK/RETURN SUMMARY

1. WHAT IS THE FUND'S OBJECTIVE?
The Fund seeks interest income that is exempt from regular
federal income taxes and some state and local taxes by
investing in a fixed portfolio consisting primarily of long
term municipal revenue bonds.
2. WHAT ARE MUNICIPAL REVENUE BONDS?
Municipal revenue bonds are bonds issued by states,
municipalities and public authorities to finance the cost
of buying, building or improving various projects intended
to generate revenue, such as airports, health care
facilities, housing and municipal electric, water and sewer
utilities. Generally, payments on these bonds depend solely
on the revenues generated by the projects, excise taxes or
state appropriations, and are not backed by the
government's taxing power.

3. WHAT IS THE FUND'S INVESTMENT STRATEGY?
O The Fund plans to hold to maturity 8 long-term tax-exempt
municipal bonds, and some short-term bonds reserved to pay
the deferred sales fee, with an aggregate face amount of
$5,150,000.
o The Fund is a unit investment trust which means that,
unlike a mutual fund, the Portfolio is not managed.
o When the bonds were initially deposited they were rated A
or better by Standard & Poor's, Moody's or Fitch. The
quality of the bonds may currently be lower.
o Many of the bonds can be called at a premium declining over
time to par value. Some bonds may be called earlier at par
for extraordinary reasons.
o 15% of the bonds are backed by bank letters of credit.
o 24% of the bonds are insured by insurance companies that
guarantee timely payments of principal and interest on the
bonds (but not Fund units or the market value of the bonds
before they mature).

The Portfolio consists of municipal bonds of the following
types:

APPROXIMATE
PORTFOLIO
PERCENTAGE
/ / Airport/Port/Highway 10%
/ / General Obligation 19%
/ / Hospital/Health Care 29%
/ / Lease Rental Appropriation 27%
/ / Universities/Colleges 15%

4. WHAT ARE THE SIGNIFICANT RISKS?
YOU CAN LOSE MONEY BY INVESTING IN THE FUND. THIS CAN
HAPPEN FOR VARIOUS REASONS, INCLUDING:
o Rising interest rates, an issuer's worsening financial
condition or a drop in bond ratings can reduce the price of
your units.
o Because the Fund is concentrated in hospital/health care
and lease rental appropriation bonds, adverse developments
in these sectors may affect the value of your units.
o Assuming no changes in interest rates, when you sell your
units, they will generally be worth less than your cost
because your cost included a sales fee.
o The Fund will receive early returns of principal if bonds
are called or sold before they mature. If this happens your
income will decline and you may not be able to reinvest the
money you receive at as high a yield or as long a maturity.

12
<PAGE>

ALSO, THE PORTFOLIO IS CONCENTRATED IN BONDS OF NEW YORK SO
IT IS LESS DIVERSIFIED THAN A NATIONAL FUND AND IS SUBJECT
TO RISKS PARTICULAR TO NEW YORK WHICH ARE BRIEFLY DESCRIBED
UNDER STATE CONCENTRATION RISKS LATER IN THIS PROSPECTUS.
5. IS THIS FUND APPROPRIATE FOR YOU?
Yes, if you want federally tax-free income. You will
benefit from a professionally selected and supervised
portfolio whose risk is reduced by investing in bonds of
several different issuers.
The Fund is not appropriate for you if you want a
speculative investment that changes to take advantage of
market movements, if you do not want a tax-advantaged
investment or if you cannot tolerate any risk.

DEFINING YOUR INCOME

WHAT YOU MAY EXPECT (Payable on the 25th day of
the month to holders of record on the 10th day
of the month):
Regular Monthly Income per unit $ 4.24
Annual Income per unit: $ 50.99
These figures are estimates determined on the evaluation
day; actual payments may vary.

6. WHAT ARE THE FUND'S FEES AND EXPENSES?
This table shows the costs and expenses you may pay,
directly or indirectly, when you invest in the Fund.
INVESTOR FEES
Maximum Sales Fee (Load) on new
purchases (as a percentage of
$1,000 invested) 2.90%
You will pay a deferred sales fee of $3.75 per unit
quarterly November, February, May and August, through
February, 2001.
Employees of some of the Sponsors and their affiliates may
be charged a reduced sales fee of no less than $5.00 per
unit.
The maximum sales fee is reduced if you invest at least
$100,000, as follows:

Maximum Exchange Fee 1.90%

ESTIMATED ANNUAL FUND OPERATING EXPENSES

AMOUNT
PER UNIT
-----------
$ 0.72
Trustee's Fee
$ 0.46
Portfolio Supervision,
Bookkeeping and
Administrative Fees
(including updating
expenses)
$ 0.26
Evaluator's Fee
$ 0.20
Organization Costs
$ 0.58
Other Operating Expenses
-----------
$ 2.22
TOTAL

The Sponsors historically paid organization costs and
updating expenses.
7. HOW HAVE SIMILAR FUNDS PERFORMED IN THE PAST?
In the following chart we show past performance of prior
New York Portfolios, which had investment objectives,
strategies and types of bonds substantially similar to
this Fund. These prior Series differed in that they
charged a higher sales fee. These prior New York Series
were offered between January 14, 1988 and October 16, 1996
and were outstanding on December 31, 1998. OF COURSE, PAST
PERFORMANCE OF PRIOR SERIES IS NO GUARANTEE OF FUTURE
RESULTS OF THIS FUND.
AVERAGE ANNUAL COMPOUND TOTAL RETURNS
FOR PRIOR SERIES
Reflecting all expenses. For periods ended 12/31/98.

WITH SALES FEE NO SALES FEE
1 YEAR 5 YEARS 10 YEARS 1 YEAR 5 YEARS 10 YEARS

- -------------------------------------------------------------------

High 5.93% 5.02% 7.53% 8.20% 8.09% 8.13%
Average 2.83 4.25 7.23 6.01 5.27 7.83
Low 0.35 3.61 7.04 4.11 4.59 7.64

- -------------------------------------------------------------------

Average
Sales fee 3.15% 5.04% 5.82%

- -------------------------------------------------------------------

Note: All returns represent changes in unit price with distributions reinvested
into the Municipal Fund Investment Accumulation Program.

13
<PAGE>

9. HOW DO I BUY UNITS?
The minimum investment is one unit.
You can buy units from any of the Sponsors and other
broker-dealers. The Sponsors are listed later in this
prospectus. Some banks may offer units for sale through
special arrangements with the Sponsors, although certain
legal restrictions may apply.
UNIT PRICE PER UNIT $1,049.04
(as of November 30, 1998)
Unit price is based on the net asset value of the Fund plus
the sales fee. An amount equal to any principal cash, as
well as net accrued but undistributed interest on the unit,
is added to the unit price. An independent evaluator prices
the bonds at 3:30 p.m. Eastern time every business day.
Unit price changes every day with changes in the prices of
the bonds in the Fund.
10. HOW DO I SELL UNITS?
You may sell your units at any time to any Sponsor or the
Trustee for the net asset value determined at the close of
business on the date of sale, less any remaining deferred
sales fee. You will not pay any other fee when you sell
your units.
11. HOW ARE DISTRIBUTIONS MADE AND TAXED?
The Fund pays income monthly.
In the opinion of bond counsel when each bond was issued,
interest on the bonds in this Fund is generally 100% exempt
from regular federal income tax. Your income may also be
exempt from some New York state and local personal income
taxes if you live in New York.
You will also receive principal payments if bonds are sold
or called or mature, when the cash available is more than
$5.00 per unit. You will be subject to tax on any gain
realized by the Fund on the disposition of bonds.

12. WHAT OTHER SERVICES ARE AVAILABLE?
REINVESTMENT
You will receive your income in cash unless you choose to
compound your income by reinvesting at no sales fee in the
Municipal Fund Investment Accumulation Program, Inc. This
program is an open-end mutual fund with a comparable
investment objective. Income from this program will
generally be subject to state and local income taxes. For
more complete information about the program, including
charges and fees, ask the Trustee for the program's
prospectus. Read it carefully before you invest. The
Trustee must receive your written election to reinvest at
least 10 days before the record day of an income payment.
EXCHANGE PRIVILEGES
You may exchange units of this Fund for units of certain
other Defined Asset Funds. You may also exchange into this
Fund from certain other funds. We charge a reduced sales
fee on exchanges.

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<PAGE>
- --------------------------------------------------------------------------------
TAX-FREE VS. TAXABLE INCOME: A COMPARISON OF TAXABLE AND TAX-FREE YIELDS

FOR CALIFORNIA RESIDENTS
- --------------------------------------------------------------------------------

COMBINED
EFFECTIVE
TAXABLE INCOME 1999* TAX RATE TAX-FREE YIELD OF
SINGLE RETURN JOINT RETURN % 4% 4.5% 5% 5.5% 6% 6.5% 7% 7.5% 8%
IS EQUIVALENT TO A TAXABLE YIELD OF

- --------------------------------------------------------------------------------

FOR NEW JERSEY RESIDENTS
- --------------------------------------------------------------------------------

COMBINED
EFFECTIVE
TAXABLE INCOME 1999* TAX RATE TAX-FREE YIELD OF
SINGLE RETURN JOINT RETURN % 3% 3.5% 4% 4.5% 5% 5.5% 6% 6.5%
IS EQUIVALENT TO A TAXABLE YIELD OF

- --------------------------------------------------------------------------------

FOR NEW YORK CITY RESIDENTS
- --------------------------------------------------------------------------------

COMBINED
EFFECTIVE
TAXABLE INCOME 1999* TAX RATE TAX-FREE YIELD OF
SINGLE RETURN JOINT RETURN % 4% 4.5% 5% 5.5% 6% 6.5% 7% 7.5% 8%
IS EQUIVALENT TO A TAXABLE YIELD OF

- --------------------------------------------------------------------------------

FOR NEW YORK STATE RESIDENTS
- --------------------------------------------------------------------------------

COMBINED
EFFECTIVE
TAXABLE INCOME 1999* TAX RATE TAX-FREE YIELD OF
SINGLE RETURN JOINT RETURN % 4% 4.5% 5% 5.5% 6% 6.5% 7% 8%
IS EQUIVALENT TO A TAXABLE YIELD OF

- --------------------------------------------------------------------------------

To compare the yield of a taxable security with the yield of a tax-free
security, find your taxable income and read across. The table incorporates 1999
federal and applicable State (and City) income tax rates and assumes that all
income would otherwise be taxed at the investor's highest tax rate. Yield
figures are for example only.

*Based upon net amount subject to federal income tax after deductions and
exemptions. This table does not reflect the possible effect of other tax
factors, such as alternative minimum tax, personal exemptions, the phase out of
exemptions, itemized deductions or the possible partial disallowance of
deductions. Consequently, investors are urged to consult their own tax advisers
in this regard.

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<PAGE>
WHAT YOU CAN EXPECT FROM YOUR INVESTMENT

MONTHLY INCOME

The Fund will pay you regular monthly income. Your monthly income may vary
because of:
o elimination of one or more bonds from the Fund's portfolio because of
calls, redemptions or sales;
o a change in the Fund's expenses; or
o the failure by a bond's issuer to pay interest.

Changes in interest rates generally will not affect your income because the
portfolio is fixed.

Along with your income, you will receive your share of any available bond
principal.

RETURN FIGURES

We cannot predict your actual return, which will vary with unit price, how long
you hold your investment and changes in the portfolio, interest income and
expenses.

Estimated Current Return equals the estimated annual cash to be received from
the bonds in the Fund less estimated annual Fund expenses, divided by the Unit
Price (including the maximum sales fee):

Estimated Annual Estimated
Interest Income - Annual Expenses
- -------------------------------------------------
Unit Price

Estimated Long Term Return is a measure of the estimated return over the
estimated life of the Fund. Unlike Estimated Current Return, Estimated Long Term
Return reflects maturities, discounts and premiums of the bonds in the Fund. It
is an average of the yields to maturity (or in certain cases, to an earlier call
date) of the individual bonds in the portfolio, adjusted to reflect the Fund's
maximum sales fee and estimated expenses. We calculate the average yield for the
portfolio by weighting each bond's yield by its market value and the time
remaining to the call or maturity date.

Yields on individual bonds depend on many factors including general conditions
of the bond markets, the size of a particular offering and the maturity and
quality rating of the particular issues. Yields can vary among bonds with
similar maturities, coupons and ratings.

These return quotations are designed to be comparative rather than predictive.

RECORDS AND REPORTS

You will receive:
o a monthly statement of income payments and any principal payments;
o a notice from the Trustee when new bonds are deposited in exchange or
substitution for bonds originally deposited;
o an annual report on Fund activity; and
o annual tax information. This will also be sent to the IRS. You must report the
amount of tax-exempt interest received during the year.

You may request:
o copies of bond evaluations to enable you to comply with federal and state tax
reporting requirements; and
o audited financial statements of the Fund.

You may inspect records of Fund transactions at the Trustee's office during
regular business hours.

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<PAGE>
THE RISKS YOU FACE

INTEREST RATE RISK

Investing involves risks, including the risk that your investment will decline
in value if interest rates rise. Generally, bonds with longer maturities will
change in value more than bonds with shorter maturities. Bonds in the Fund are
more likely to be called when interest rates decline. This would result in early
returns of principal to you and may result in early termination of the Fund. Of
course, we cannot predict how interest rates may change.

CALL RISK

Many bonds can be prepaid or 'called' by the issuer before their stated
maturity.

For example, some bonds may be required to be called pursuant to mandatory
sinking fund provisions.

Also, an issuer might call its bonds during periods of falling interest rates,
if the issuer's bonds have a coupon higher than current market rates.

An issuer might call its bonds in extraordinary cases, including if:
o it no longer needs the money for the original purpose;
o the project is condemned or sold;
o the project is destroyed and insurance proceeds are used to redeem the
bonds;
o any related credit support expires and is not replaced; or
o interest on the bonds become taxable.

If the bonds are called, your income will decline and you may not be able to
reinvest the money you receive at as high a yield or as long a maturity. An
early call at par of a premium bond will reduce your return.

REDUCED DIVERSIFICATION RISK

If many investors sell their units, the Fund will have to sell bonds. This could
reduce the diversification of your investment and increase your share of Fund
expenses.

LIQUIDITY RISK

You can always sell back your units, but we cannot assure you that a liquid
trading market will always exist for the bonds in the portfolio, especially
since current law may restrict the Fund from selling bonds to any Sponsor. The
bonds will generally trade in the over-the-counter market. The value of the
bonds, and of your investment, may be reduced if trading in bonds is limited or
absent.

CONCENTRATION RISK

When a certain type of bond makes up 25% or more of the portfolio, it is said to
be 'concentrated' in that bond type, which makes the Portfolio less diversified.

Here is what you should know about the California and New York Portfolios'
concentrations in hospital and health care bonds.
o payment for these bonds depends on revenues from private third-party payors
and government programs, including Medicare and Medicaid, which have
generally undertaken cost containment measures to limit payments to health
care providers;
o hospitals face increasing competition resulting from hospital mergers and
affiliations;
o hospitals need to reduce costs as HMOs increase market penetration and
hospital supply and drug companies raise prices;
o hospitals and health care providers are subject to various legal claims by
patients and others and are adversely affected by increasing costs of
insurance; and

17
<PAGE>
o many hospitals are aggressively buying physician practices and assuming
risk contracts to gain market share. If revenues do not increase
accordingly, this practice could reduce profits;
o Medicare is changing its reimbursement system for nursing homes. Many
nursing home providers are not sure how they will be treated. In many
cases, the providers may receive lower reimbursements and these would have
to cut expenses to maintain profitability; and
o most retirement/nursing home providers rely on entrance fees for operating
revenues. If people live longer than expected and turnover is lower than
budgeted, operating revenues would be adversely affected by less than
expected entrance fees.

Here is what you should know about the California Portfolio's concentration in
tax allocation bonds.
o these bonds are secured by ad valorem taxes imposed on the incremental
increase of taxable assessed valuation of property within a jurisdiction
above an established base of assessed values.
o the issuers of these bonds do not have general taxing authority and the tax
assessments on which the taxes used to service the bonds are based may be
subject to devaluation due to market price declines or governmental
action.

Here is what you should know about the California and New York Portfolios'
concentrations in lease rental bonds. Lease rental bonds are generally issued by
governmental financing authorities that cannot assess a tax to cover the cost of
equipment or construction of buildings that will be used by a state or local
government. The risks associated with these bonds include:
o the failure of the government to appropriate funds for the leasing rental
payments to service the bonds; and
o rental obligations, and therefore payments, may terminate in the event of
damages to or destruction or condemnation of the of the equipment or
building.

Here is what you should know about the New Jersey Portfolio's concentration in
airport/port/highway bonds. These bonds are dependent for payment on revenues
from financial projects including:
o user fees from ports and airports;
o tolls on turnpikes and bridges;
o rents from buildings; and
o additional financial resources including
--federal and state subsidies,
--lease rentals paid by state or local governments, or
--the pledge of a special tax such as a sales tax or a property tax.

Airport income is largely affected by:
o increased competition;
o excess capacity; and
o increased fuel costs.

Changes to the portfolio from bond redemptions, maturities and sales may affect
the Fund's concentrations over time.

STATE CONCENTRATION RISK

CALIFORNIA RISKS

Generally

From the late 1980s through the early 1990s, an economic recession eroded
California's revenue base. At the same time rapid population growth caused State
expenditures to exceed budget appropriations.

o As a result California experienced a period of sustained budget imbalance.

o Since that time the California economy has improved and the extreme
budgetary pressures have begun to lessen.

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<PAGE>
State Government

The 1997-98 Budget Act allocated a State budget of approximately $66.9 Billion
and contains no tax increases or reductions. Despite this somewhat improved
state, California's budget is still subject to certain unforeseeable events. For
example:

o In December, 1994, Orange County and its investment pool filed for
bankruptcy. While a settlement has been reached, the full impact on the
State and Orange County is still unknown.

o California faces constant fluctuations in other expenses (including health
and welfare caseloads, property tax receipts, federal funding and natural
disaster relief) that will undoubtedly create new budgetary pressure and
reduce issuers' ability to pay their debts.

o California's general obligation bonds are currently rated A1 by Moody's and
A+ by Standard & Poor's.

Other Risks

Issuers' ability to make payments on bonds (and the remedies available to
bondholders) could also be adversely affected by the following constraints:

o Certain provisions of California's Constitution, laws and regulatory system
contain tax, spending and appropriations limits and prohibit certain new
taxes.

o Certain other California laws subject the users of bond proceeds to strict
rules and limits regarding revenue repayment.

o Bonds of healthcare institutions which are subject to the strict rules and
limits regarding reimbursement payments of California's Medi-Cal program
for health care services to welfare recipients and bonds secured by liens
on real property are two of the types of bonds affected by these
provisions.

NEW JERSEY RISKS

State and Local Government

Certain features of New Jersey law could affect the repayment of debt:

o the State of New Jersey and its agencies and public authorities issue
general obligation bonds, which are secured by the full faith and credit of
the state, backed by its taxing authority, without recourse to specific
sources of revenue, therefore, any liability to increase taxes could impair
the state's ability to repay debt; and

o the state is required by law to maintain a balanced budget, and state
spending for any given municipality or county cannot increase by more than
5% per year. This limit could make it harder for any particular county or
municipality to repay its debts.

In recent years the state budget's main expenditures have been

o elementary and secondary education, and

o state agencies and programs, including police and corrections facilities,
higher education, and environmental protection.

The state's general obligations are rated Aa1 by Moody's and AA+ by Standard &
Poor's.

NEW YORK RISKS

Generally

For decades, New York's economy has trailed the rest of the nation. Both the
state and New York City have experienced long-term structural imbalances between
revenues and expenses, and have repeatedly relied substantially on non-recurring
measures to

19
<PAGE>
achieve budget balance. The pressures that contribute to budgetary problems at
both the state and local level include:

o the high combined state and local tax burden;

o a decline in manufacturing jobs, leading to above-average unemployment;

o sensitivity to the financial services industry; and

o dependence on federal aid.

State Government

The State government frequently has difficulty approving budgets on time. Budget
gaps of $1 billion and $4 billion are projected for the next two years. The
State's general obligation bonds are rated A by Standard & Poor's and A2 by
Moody's. There is $37 billion of state-related debt outstanding.

New York City Government

Even though the City had budget surpluses each year from 1981, budget gaps of $2
billion are projected for each of the next three years. New York City faces
fiscal pressures from:

o aging public facilities that need repair or replacement;

o welfare and medical costs;

o expiring labor contracts; and

o a high and increasing debt burden.

The City requires substantial state aid, and its fiscal strength depends heavily
on the securities industry. Its general obligation bonds are rated A-by Standard
& Poor's and A3 by Moody's.

BOND QUALITY RISK

A reduction in a bond's rating may decrease its value and, indirectly, the value
of your investment in the Fund.

INSURANCE RELATED RISK

Some bonds are backed by insurance companies (as shown under Portfolios).
Insurance policies generally make payments only according to a bond's original
payment schedule and do not make early payments when a bond defaults or becomes
taxable. Although the federal government does not regulate the insurance
business, various state laws and federal initiatives and tax law changes could
significantly affect the insurance business. The claims-paying ability of the
insurance companies is generally rated A or better by Standard & Poor's or
another nationally recognized rating organization. The insurance company ratings
are subject to change at any time at the discretion of the rating agencies.

LITIGATION AND LEGISLATION RISKS

We do not know of any pending litigation that might have a material adverse
effect upon the Fund.

Future tax legislation could affect the value of the portfolio by:
o limiting real property taxes,
o reducing tax rates,
o imposing a flat or other form of tax, or
o exempting investment income from tax.

SELLING OR EXCHANGING UNITS

You can sell your units at any time for a price based on net asset value. Your
net asset value is calculated each business day by:
o adding the value of the bonds, net accrued interest, cash and any other
Fund assets;
o subtracting accrued but unpaid Fund expenses, unreimbursed Trustee
advances, cash held to buy back units or for distribution to investors and
any other Fund liabilities; and

20
<PAGE>
o dividing the result by the number of outstanding units.

Your net asset value when you sell may be more or less than your cost because of
sales fees, market movements and changes in the portfolio.

If you sell your units before the final deferred sales fee installment, the
amount of any remaining installments will be deducted from your proceeds.

SPONSORS' SECONDARY MARKET

While we are not obligated to do so, we will buy back units at net asset value
without any other fee or charge other than any remaining deferred sales charge.
We may resell the units to other buyers or to the Trustee. You should consult
your financial professional for current market prices to determine if other
broker-dealers or banks are offering higher prices.

We have maintained the secondary market continuously for over 25 years, but we
could discontinue it without prior notice for any business reason.

SELLING UNITS TO THE TRUSTEE

Regardless of whether we maintain a secondary market, you can sell your units to
the Trustee at any time by sending the Trustee a letter (with any outstanding
certificates if you hold Unit certificates). You must properly endorse your
certificates (or execute a written transfer instrument with signatures
guaranteed by an eligible institution). Sometimes, additional documents are
needed such as a trust document, certificate of corporate authority, certificate
of death or appointment as executor, administrator or guardian.

Within seven days after your request and the necessary documents are received,
the Trustee will mail a check to you. Contact the Trustee for additional
information.

As long as we are maintaining a secondary market, the Trustee will sell your
units to us at a price based on net asset value. If there is no secondary
market, the Trustee may sell your units in the over-the-counter market for a
higher price, but it is not obligated to do so. In that case, you will receive
the net proceeds of the sale.

If the Fund does not have cash available to pay you for units you are selling,
the agent for the Sponsors will select bonds to be sold. Bonds will be selected
based on market and credit factors. These sales could be made at times when the
bonds would not otherwise be sold and may result in your receiving less than the
unit par value and also reduce the size and diversity of the Fund.

If you acquire 25% or more of the outstanding units of the Fund and you sell
units with a value exceeding $250,000, the Trustee may choose to pay you 'in
kind' by distributing bonds and cash with a total value equal to the price of
those units. The Trustee will try to distribute bonds in the portfolio pro rata,
but it reserves the right to distribute only one or a few bonds. The Trustee
will act as your agent in an in kind distribution and will either hold the bonds
for your account or sell them as you instruct. You must pay any transaction
costs as well as transfer and ongoing custodial fees on sales of bonds
distributed in kind.

There could be a delay in paying you for your units:

21
<PAGE>
o if the New York Stock Exchange is closed (other than customary weekend and
holiday closings);
o if the SEC determines that trading on the New York Stock Exchange is
restricted or that an emergency exists making sale or evaluation of the
bonds not reasonably practicable; and
o for any other period permitted by SEC order.

EXCHANGE OPTION

You may exchange units of certain Defined Asset Funds for units of this Fund at
a maximum exchange fee of 1.90%. You may exchange units of this Fund for units
of certain other Defined Asset Funds at a reduced sales fee if your investment
goals change. To exchange units, you should talk to your financial professional
about what funds are exchangeable, suitable and currently available.

Normally, an exchange is taxable and you must recognize any gain or loss on the
exchange. However, the IRS may try to disallow a loss if the portfolios of the
two funds are not materially different; you should consult your own tax adviser.

We may amend or terminate this exchange option at any time without notice.

HOW THE FUND WORKS

PRICING

The price of a unit includes interest accrued on the bonds, less expenses, from
the initial most recent Record Day up to, but not including, the settlement
date, which is usually three business days after the purchase date of the unit.

A portion of the price of a unit consists of cash so that the Trustee can
provide you with regular monthly income. When you sell your units you will
receive your share of this cash.

In addition, as with mutual funds, the Fund (and therefore the investors) pay
all or some of the costs of organizing the Fund including:
o cost of initial preparation of legal documents;
o federal and state registration fees;
o initial fees and expenses of the Trustee;
o initial audit; and
o legal expenses and other out-of-pocket expenses.

EVALUATIONS

An independent Evaluator values the bonds on each business day (excluding
Saturdays, Sundays and the following holidays as observed by the New York Stock
Exchange: New Year's Day, Presidents' Day, Martin Luther King, Jr. Day, Good
Friday, Memorial Day, Independence Day, Labor Day, Thanksgiving and Christmas).
Bond values are based on current bid or offer prices for the bonds or comparable
bonds. In the past, the difference between bid and offer prices of publicly
offered tax-exempt bonds has ranged from 0.5% of face amount on actively traded
issues to 3.5% on inactively traded issues; the difference has averaged between
1 and 2%.

INCOME

The Trustee credits interest to an Income Account and other receipts to a
Capital Account. The Trustee may establish a Reserve Account by withdrawing from
these accounts amounts it considers appropriate to pay any

22
<PAGE>
material liability. These accounts do not bear interest.

EXPENSES

The Trustee is paid monthly. It also benefits when it holds cash for the Fund in
non-interest bearing accounts. The Trustee may also receive additional amounts:
o to reimburse the Trustee for the Fund's operating expenses;
o for extraordinary services and costs of indemnifying the Trustee and the
Sponsors;
o costs of actions taken to protect the Fund and other legal fees and
expenses;
o expenses for keeping the Fund's registration statement current; and
o Fund termination expenses and any governmental charges.

The Sponsors are currently reimbursed up to 45 cents per $1,000 face amount
annually for providing portfolio supervisory, bookkeeping and administrative
services and for any other expenses properly chargeable to the Fund. Legal,
typesetting, electronic filing and regulatory filing fees and expenses
associated with updating the Portfolio's registration statement yearly are also
now chargeable to the Portfolio. While this fee may exceed the amount of these
costs and expenses attributable to this Fund, the total of these fees for all
Series of Defined Asset Funds will not exceed the aggregate amount attributable
to all of these Series for any calendar year. The Fund also pays the Evaluator's
fees.

The Trustee's, Sponsors' and Evaluator's fees may be adjusted for inflation
without investors' approval.

Any quarterly deferred sales fees you owe are paid with interest and principal
from certain bonds. If these amounts are not enough, the rest will be paid out
of distributitons to you from the Fund's Capital and Income Accounts.

The Sponsors will pay advertising and selling expenses at no charge to the Fund.
If Fund expenses exceed initial estimates, the Fund will owe the excess. The
Trustee has a lien on Fund assets to secure reimbursement of Fund expenses and
may sell bonds if cash is not available.

PORTFOLIO CHANGES

The Sponsors and Trustee are not liable for any default or defect in a bond; if
a contract to buy any bond.

Unlike a mutual fund, the portfolio is designed to remain intact and we may keep
bonds in the portfolio even if their credit quality declines or other adverse
financial circumstances occur. However, we may sell a bond in certain cases if
we believe that certain adverse credit conditions exist or if a bond becomes
taxable.

If we maintain a secondary market in units but are unable to sell the units that
we buy in the secondary market, we will redeem units, which will affect the size
and composition of the portfolio. Units offered in the secondary market may not
represent the same face amount of bonds that they did originally.

We decide whether or not to offer units for sale that we acquire in the
secondary market after reviewing:
o diversity of the portfolio;
o size of the Fund relative to its original size;

23
<PAGE>
o ratio of Fund expenses to income;
o current and long-term returns;
o degree to which units may be selling at a premium over par; and
o cost of maintaining a current prospectus.

FUND TERMINATION

The Fund will terminate following the stated maturity or sale of the last bond
in the portfolio. The Fund may also terminate earlier with the consent of
investors holding 51% of the units or if total assets of the Fund have fallen
below 40% of the face amount of bonds deposited. We will decide whether to
terminate the Fund early based on the same factors used in deciding whether or
not to offer units in the secondary market.

When the Fund is about to terminate you will receive a notice, and you will be
unable to sell your units after that time. On or shortly before termination, we
will sell any remaining bonds, and you will receive your final distribution. Any
bond that cannot be sold at a reasonable price may continue to be held by the
Trustee in a liquidating trust pending its final sale.

You will pay your share of the expenses associated with termination, including
brokerage costs in selling bonds. This may reduce the amount you receive as your
final distribution.

CERTIFICATES

Certificates for units are issued on request. You may transfer certificates by
complying with the requirements for redeeming certificates, described above. You
can replace lost or mutilated certificates by delivering satisfactory indemnity
and paying the associated costs.

TRUST INDENTURE

The Fund is a 'unit investment trust' governed by a Trust Indenture, a contract
among the Sponsors, the Trustee and the Evaluator, which sets forth their duties
and obligations and your rights. A copy of the Indenture is available to you on
request to the Trustee. The following summarizes certain provisions of the
Indenture.

The Sponsors and the Trustee may amend the Indenture without your consent:
o to cure ambiguities;
o to correct or supplement any defective or inconsistent provision;
o to make any amendment required by any governmental agency; or
o to make other changes determined not to be materially adverse to your best
interest (as determined by the Sponsors).
Investors holding 51% of the units may amend the Indenture. Every investor must
consent to any amendment that changes the 51% requirement. No amendment may
reduce your interest in the Fund without your written consent.

The Trustee may resign by notifying the Sponsors. The Sponsors may remove the
Trustee without your consent if:
o it fails to perform its duties and the Sponsors determine that its
replacement is in your best interest; or
o it becomes incapable of acting or bankrupt or its affairs are taken over by
public authorities.
Investors holding 51% of the units may remove the Trustee. The Evaluator may
resign or be removed by the Sponsors and the Trustee without the consent of
investors. The resignation or removal of either becomes effective when a
successor accepts

24
<PAGE>
appointment. The Sponsors will try to appoint a successor promptly; however, if
no successor has accepted within 30 days after notice of resignation, the
resigning Trustee or Evaluator may petition a court to appoint a successor.

Any Sponsor may resign as long as one Sponsor with a net worth of $2 million
remains and agrees to the resignation. The remaining Sponsors and the Trustee
may appoint a replacement. If there is only one Sponsor and it fails to perform
its duties or becomes bankrupt the Trustee may:
o remove it and appoint a replacement Sponsor;
o liquidate the Fund; or
o continue to act as Trustee without a Sponsor.

Merrill Lynch, Pierce, Fenner & Smith Incorporated acts as agent for the
Sponsors.

The Trust Indenture contains customary provisions limiting the liability of the
Trustee, the Sponsors and the Evaluator.

LEGAL OPINION

Davis Polk & Wardwell, 450 Lexington Avenue, New York, New York 10017, as
counsel for the Sponsors, has given an opinion that the units are validly
issued. Special counsel located in the relevant states have given state and
local tax opinions.

AUDITORS

Deloitte & Touche LLP, 2 World Financial Center, New York, New York 10281,
independent accountants, audited the Statements of Condition included in this
prospectus.

SPONSORS

The Sponsors are:

MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED (a wholly-owned subsidiary of
Merrill Lynch & Co., Inc.)
P.O. Box 9051,
Princeton, NJ 08543-9051
SALOMON SMITH BARNEY INC. (an indirectly wholly-owned subsidiary of Citigroup
Inc.)
388 Greenwich Street--23rd Floor,
New York, NY 10013
DEAN WITTER REYNOLDS INC. (a principal operating subsidiary of Morgan Stanley
Dean Witter & Co.)
Two World Trade Center--59th Floor,
New York, NY 10048
PRUDENTIAL SECURITIES INCORPORATED (an
indirect wholly-owned subsidiary of the
Prudential Insurance Company of America)
One New York Plaza
New York, NY 10292
PAINEWEBBER INCORPORATED (a wholly-owned subsidiary of PaineWebber Group Inc.)
1285 Avenue of the Americas,
New York, NY 10019

Each Sponsor is a Delaware corporation and it, or its predecessor, has acted as
sponsor to many unit investment trusts. As a registered broker-dealer each
Sponsor buys and sells securities (including investment company shares) for
others (including investment companies) and participates as an underwriter in
various selling groups.

TRUSTEE

The Chase Manhattan Bank, Unit Investment Trust Department, 4 New York
Plaza--6th Floor, New York, New York 10004, is the Trustee.

25
<PAGE>
It is supervised by the Federal Deposit Insurance Corporation, the Board of
Governors of the Federal Reserve System and New York State banking authorities.

UNDERWRITERS' AND SPONSORS' PROFITS

Underwriters receive sales charges when they sell units. The Sponsors also
realized a profit or loss on the initial date of deposit of the bonds. Any cash
made available by you to the Sponsors before the settlement date for those units
may be used in the Sponsors' businesses to the extent permitted by federal law
and may benefit the Sponsors.

A Sponsor or Underwriter may realize profits or sustain losses on bonds in the
Fund which were acquired from underwriting syndicates of which it was a member.

In maintaining a secondary market, the Sponsors will also realize profits or
sustain losses in the amount of any difference between the prices at which they
buy units and the prices at which they resell or redeem them.

PUBLIC DISTRIBUTION

The Sponsors do not intend to qualify units for sale in any foreign countries.
This prospectus does not constitute an offer to sell units in any country where
units cannot lawfully be sold.

CODE OF ETHICS

Merrill Lynch, as agent for the Sponsors, has adopted a code of ethics requiring
preclearance and reporting of personal securities transactions by its employees
with access to information on portfolio transactions. The goal of the code is to
prevent fraud, deception or misconduct against the Fund and to provide
reasonable standards of conduct.

YEAR 2000 ISSUES

Many computer systems were designed in such a way that they may be unable to
distinguish between the year 2000 and the year 1900 (commonly known as the 'Year
2000 Problem'). We do not expect that the computer system changes necessary to
prepare for the Year 2000 will cause any major operational difficulties for the
Fund. The Year 2000 Problem may adversely affect the issuers of the securities
contained in the Portfolio, but we cannot predict whether any impact will be
material to the Portfolio as a whole.

TAXES

The following summary describes some of the important income tax consequences of
holding units. It assumes that you are not a dealer, financial institution,
insurance company or other investor with special circumstances. You should
consult your own tax adviser about your particular circumstances.

At the date of issue of each bond, counsel for the issuer delivered an opinion
to the effect that interest on the bond is exempt from regular federal income
tax. However, interest may be subject to state and local taxes and federal
alternative minimum tax. Neither we nor our counsel have reviewed the issuance
of the bonds, related proceedings or the basis for the opinions of counsel for
the issuers. We cannot assure you that the issuer (or other users) have complied
or will comply with any requirements necessary for a bond to be tax-exempt. If
any of the bonds were determined

26
<PAGE>
not to be tax-exempt, you could be required to pay income tax for current and
prior years, and if the Fund were to sell the bond, it might have to sell it at
a substantial discount.

In the opinion of our counsel, under existing law:

GENERAL TREATMENT OF THE FUND AND YOUR INVESTMENT

The Fund will not be taxed as a corporation for federal income tax purposes, and
you will be considered to own directly your share of each bond in the Fund.

INCOME OR LOSS UPON DISPOSITION

When all or part of your share of a bond is disposed of (for example, when the
Fund sells, exchanges or redeems a bond or when you sell or exchange your
units), you will generally recognize capital gain or loss. Your gain, however,
will generally be ordinary income to the extent of any accrued 'market
discount'. Generally you will have market discount to the extent that your basis
in a bond when you purchase a unit is less than its stated redemption price at
maturity (or, if it is an original issue discount bond, the issue price
increased by original issue discount that has accrued on the bond before your
purchase). You should consult your tax adviser in this regard.

If your net long-term capital gains exceed your net short-term capital losses,
the excess may be subject to tax at a lower rate than ordinary income. Any
capital gain from the Fund will be long-term if you are considered to have held
your investment on each bond for more than one year and short-term if you held
it for one year or less. If you are an individual and sell your units after
holding them for more than one year, you may be entitled to a 20% maximum
federal tax rate on any resulting gains. Consult your tax adviser in this
regard. Because the deductibility of capital losses is subject to limitations,
you may not be able to deduct all of your capital losses.

YOUR BASIS IN THE BONDS

Your aggregate basis in the bonds will be equal to the cost of your units,
including any sales charges and the organizational expenses you pay, adjusted to
reflect any accruals of 'original issue discount,' 'acquisition premium' and
'bond premium'. You should consult your tax adviser in this regard.

EXPENSES

If you are not a corporate investor, you will not be entitled to a deduction for
your share of fees and expenses of the Fund. Also, if you borrowed money in
order to purchase or carry your units, you will not be able to deduct the
interest on this borrowing for federal income tax purposes. The IRS may treat
your purchase of units as made with borrowed money even if the money is not
directly traceable to the purchase of units.

STATE AND LOCAL TAXES

Under the income tax laws of the State and City of New York, the Fund will not
be taxed as a corporation. If you are a New York taxpayer, your income from the
Fund will not be tax-exempt in New York except to the extent that the income is
earned on bonds that are tax-exempt for New York purposes. Depending on where
you live, your income from the Fund may be subject to state and

27
<PAGE>
local taxation. You should consult your tax adviser in this regard.

CALIFORNIA TAXES

In the opinion of O'Melveny & Myers LLP, Los Angeles, California, special
counsel on California tax matters:

Under the income tax laws of the State of California, the Trust will not be
taxed as a corporation and you will be considered to own directly your share of
each bond of the Trust. If you are a California taxpayer, your share of the
income from the bonds of the Trust will not be tax-exempt in California except
for California personal income tax purposes and only to the extent that the
income is earned on bonds that are exempt for such purposes. If you are a
California taxpayer and all or part of your share of a bond is disposed of (for
example, when a bond is sold, exchanged or redeemed at maturity or you sell or
exchange your units), you will recognize gain or loss for California tax
purposes. Depending on where you live, your income from the Trust may be subject
to state and local taxation. You should consult your tax advisor in this regard.

NEW JERSEY TAXES

In the opinion of Drinker Biddle & Reath LLP, Philadelphia, Pennsylvania,
special counsel on New Jersey tax matters:

The Fund will not be taxed as a corporation under the current income tax laws of
the State of New Jersey. Your income from the Fund may be subject to taxation
depending on where you live. If you are a New Jersey taxpayer your income from
the Fund (including gains on sales of bonds by the Fund) and gains on sales of
units by you will be tax-exempt to the extent that income and gains are earned
on bonds that are tax-exempt for New Jersey purposes. You should consult your
tax adviser as to the consequences to you with respect to any investment you
make in the Fund.

SUPPLEMENTAL INFORMATION

You can receive at no cost supplemental information about the Fund by calling
the Trustee. The supplemental information includes more detailed risk disclosure
about the types of bonds that may be in the Fund's portfolios, general risk
disclosure concerning any insurance securing certain bonds, and general
information about the structure and operation of the Fund. The supplemental
information is also available from the SEC.

<PAGE>
MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (CALIFORNIA INSURED, CALIFORNIA
INTERMEDIATE INSURED, NEW JERSEY INSURED AND NEW YORK TRUSTS),
DEFINED ASSET FUNDS

REPORT OF INDEPENDENT ACCOUNTANTS

The Sponsors, Trustee and Holders
of Municipal Investment Trust Fund, Multistate Series -
319 (California Insured, California Intermediate Insured, New
Jersey Insured and New York Trusts),
Defined Asset Funds:

We have audited the accompanying statements of condition of
Municipal Investment Trust Fund, Multistate Series - 319,
(California Insured, California Intermediate Insured, New Jersey
Insured and New York Trusts), Defined Asset Funds, including
the portfolios, as of November 30, 1998 and their related
statements of operations and of changes in their net assets
for the period December 12, 1997 to November 30, 1998. These
financial statements are the responsibility of the Trustee.
Our responsibility is to express an opinion on these financial
statements based on our audits.

We conducted our audits in accordance with generally accepted
auditing standards. Those standards require that we plan and
perform the audit to obtain reasonable assurance about
whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the
financial statements. Securities owned at November 30, 1998,
as shown in such portfolios, were confirmed to us by The
Chase Manhattan Bank, the Trustee. An audit also includes
assessing the accounting principles used and significant
estimates made by the Trustee, as well as evaluating the
overall financial statement presentation. We believe that our
audits provide a reasonable basis for our opinion.

In our opinion, the financial statements referred to
above present fairly, in all material respects, the
financial position of Municipal Investment Trust Fund,
Multistate Series - 319 (California Insured, California
Intermediate Insured, New Jersey Insured and New York Trusts),
Defined Asset Funds at November 30, 1998 and the results of their
operations and changes in their net assets for the
above-stated period in conformity with generally accepted
accounting principles.

DELOITTE & TOUCHE LLP

New York, N.Y.
February 11, 1998

D - 1.

<PAGE>
MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (CALIFORNIA INSURED TRUST),
DEFINED ASSET FUNDS

STATEMENT OF CONDITION
As of November 30, 1998

<TABLE>
<S> <C> <C>
TRUST PROPERTY:
Investment in marketable securities -
at value (cost $ 4,675,263) (Note 1) ........ $ 4,797,149
Accrued interest ............................... 74,732
Accrued interest on Segregated Bonds (Note 5) .. 3,847
Cash - principal ............................... 40,005
Cash - income on Segregated Bonds .............. 4,414
Deferred organization costs (Note 6) ........... 4,063
-----------
Total trust property ......................... 4,924,210

LESS LIABILITIES:
Income advance from Trustee .................... $ 59,557
Deferred sales charge (Note 5) ................. 53,068
Accrued Sponsors' fees ......................... 2,113
Other liabilities (Note 6) ..................... 4,063 118,801
----------- -----------

NET ASSETS, REPRESENTED BY:
4,586 units of fractional undivided
interest outstanding (Note 3)................ 4,792,347

Undistributed net investment income ............ 13,062 $ 4,805,409
----------- ===========

UNIT VALUE ($ 4,805,409 / 4,586 units )........... $ 1,047.84
===========

</TABLE>

See Notes to Financial Statements.

D - 2.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (CALIFORNIA INSURED TRUST),
DEFINED ASSET FUNDS

STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
December 12, 1997
to
November 30,
1998
----

<S> <C>
INVESTMENT INCOME:
Interest income ........................ $ 238,927
Interest income on Segregated
Bonds (Note 5) ....................... 8,261
Trustee's fees and expenses ............ (8,188)
Sponsors' fees ......................... (2,242)
------------
Net investment income .................. 236,758
------------

REALIZED AND UNREALIZED GAIN
ON INVESTMENTS:
Realized gain on
securities sold or redeemed .......... 5,144
Unrealized appreciation
of investments ....................... 121,886
------------
Net realized and unrealized
gain on investments ................. 127,030
------------

NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS .............. $ 363,788
============

</TABLE>

See Notes to Financial Statements.

D - 3.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (CALIFORNIA INSURED TRUST),
DEFINED ASSET FUNDS

STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
December 12, 1997
to
November 30,
1998
----

<S> <C>
OPERATIONS:
Net investment income .................. $ 236,758
Realized gain on
securities sold or redeemed .......... 5,144
Unrealized appreciation
of investments ....................... 121,886
------------
Net increase in net assets
resulting from operations ............ 363,788
------------

INCOME DISTRIBUTIONS TO
HOLDERS (Note 2)....................... (215,064)
------------
SHARE TRANSACTIONS:
Deferred sales charge (Note 5):
Principal ............................ (72,203)

Redemption amounts:
Income ............................... (371)
Principal ............................ (452,009)
------------
Net share transactions ................. (524,583)
------------

NET DECREASE IN NET ASSETS ............... (375,859)

NET ASSETS AT BEGINNING OF PERIOD ........ 5,181,268
------------
NET ASSETS AT END OF PERIOD .............. $ 4,805,409
============
PER UNIT:
Income distributions during
period ............................... $ 44.47
============
Net asset value at end of
period ............................... $ 1,047.84
============
TRUST UNITS:
Redeemed during period ................. 458
Outstanding at end of period ........... 4,586
============

</TABLE>

See Notes to Financial Statements.

D - 4.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (CALIFORNIA INSURED TRUST),
DEFINED ASSET FUNDS

NOTES TO FINANCIAL STATEMENTS

1. SIGNIFICANT ACCOUNTING POLICIES

The Fund is registered under the Investment Company Act of 1940 as a
Unit Investment Trust. The following is a summary of significant
accounting policies consistently followed by the Fund in the
preparation of its financial statements. The policies are in
conformity with generally accepted accounting principles.

(A) Securities are stated at value as determined by the
Evaluator based on bid side evaluations for the securities
(see "How to Sell Units - Trustee's Redemption of Units"
in this Prospectus, Part B), except that value on December
12, 1997 was based upon offering side evaluations at
December 10, 1997, the day prior to the Date of Deposit. Cost
of securities at December 12, 1997 was also based on such
offering side evaluations.

(B) The Fund is not subject to income taxes. Accordingly, no
provision for such taxes is required.

2. DISTRIBUTIONS

A distribution of net investment income is made to Holders each month.
Receipts other than interest, after deductions for redemptions and
applicable expenses, are distributed as explained in "Income,
Distributions and Reinvestment - Distributions" in this Prospectus,
Part B.

3. NET CAPITAL
<TABLE>
<S> <C>

Cost of 4,586 units at Date of Deposit ..................... $ 4,710,804
Transfer to capital of interest on Segregated Bonds (Note 5) 8,261
Redemptions of units - net cost of 458 units redeemed
less redemption amounts (principal)....................... 18,455
Realized gain on securities sold or redeemed ............... 5,144
Deferred sales charge (Note 5) ............................. (72,203)
Unrealized appreciation of investments...................... 121,886
-----------

Net capital applicable to Holders .......................... $ 4,792,347
===========

</TABLE>

4. INCOME TAXES

As of November 30, 1998, unrealized appreciation of investments, based on
cost for Federal income tax purposes, aggregated $121,886, all of which
related to appreciated securities. The cost of investment securities for
Federal income tax purposes was $4,675,263 at November 30, 1998.

D - 5.

<PAGE>
MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 317 (CALIFORNIA INSURED TRUST),
DEFINED ASSET FUNDS

NOTES TO FINANCIAL STATEMENTS

5. DEFERRED SALES CHARGE

$180,000 face of Alameda Cnty., CA, Cert. of Part., Ser. 1997 and $30,000
face amount of the Cnty. of San Diego, CA, Certs. of Part, have been
segregated to fund the deferred sales charges. The sales charges are being
paid for with the interest received and by periodic sales or maturity of
these bonds. A deferred sales charge of $3.35 per Unit is charged on a
quarterly basis, and paid to the Sponsors periodically by the Trustee on
behalf of the Holders, up to an aggregate of $40.20 per Unit over the first
three years of the life of the Fund. Should a Holder redeem Units prior to
the third anniversary of the Fund, the remaining balance of the deferred
sales charge will be charged.

6. DEFERRED ORGANIZATION COSTS

Deferred organization costs are being amortized over five years. Included
in "Other liabilities" is $4,063 payable to the Trustee for reimbursement
of costs related to the organization of the Trust.

D - 6.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (CALIFORNIA INSURED TRUST),
DEFINED ASSET FUNDS

PORTFOLIO
As of November 30, 1998

<TABLE>
<CAPTION>
Rating of Optional
Portfolio No. and Title of Issues Face Redemption
Securities (1) (4) Amount Coupon Maturities(3) Provisions(3) Cost(2) Value(2)
---------- --------- ----------- ----------- ------------ ------------ ---------- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
1 California Hlth. Fac. Fin. Auth., Ins. AAA $ 500,000 5.125 % 2027 08/01/07 $ 490,620 $ 503,850
Rev. Bonds (Cedars-Sinai Med. Ctr.), @ 102.000
Ser. 1997B (MBIA Ins.)

2 California Hsg. Fin. Agy., Home Mtge. AAA 720,000 5.400 2024 02/01/08 723,132 739,404
Rev. Bonds, Ser. 1997L (MBIA Ins.) @ 101.500

3 California Statewide Cmnty. Dev. Auth., AAA 240,000 5.400 2027 12/01/07 241,046 251,362
Certs. of Part., Huntington East Valley @ 102.000
Hosp. (AMBAC Ins.)

4 County of Alameda, CA, Certs. of Part. AAA 80,000 4.000 1999 None 80,113 80,386
(Rfdg. and Cap. Proj.), Ser. 1997
(AMBAC Ins.) (6) 40,000 4.100 2000 None 40,093 40,446

60,000 4.100 2001 None 60,000 60,788

5 Antelope Valley Hlth. Care Dist., CA, AAA 750,000 5.200 2017 01/01/08 750,000 769,425
Ins. Rfdg. Rev. Bonds, Ser. 1997A (FSA @ 102.000
Ins.)

6 East Bay Mun. Util. Dist., CA, AAA 130,000 5.000 2026 06/01/06 126,156 130,098
Wastewater Sys. Sub. Rev./Rfdg. Bonds, @ 102.000
Ser. 1996 (Financial Guaranty Ins.)

7 Hayward Pub. Fin. Auth., CA, Certs. of AAA 700,000 5.250 2026 08/01/06 700,000 717,556
Part. (Civic Ctr. Proj.), Ser. 1996 @ 101.000
(MBIA Ins.)

8 Arcade Wtr. Dist., Sacramento Cnty., AAA 750,000 5.000 2027 11/01/07 727,328 750,593
CA, Wtr. Rev. Certs. of Part. (Arcade @ 102.000
Wtr. Dist. Fin. Corp.), Ser. 1997
(Financial Guaranty Ins.)

9 County of San Diego, CA, Certs. of AAA 30,000 4.000 1999 None 30,050 30,233
Part. (1997 Central Jail Rfdg.) (AMBAC
Ins.) (6)

10 Redev. Agy. of the City of San Jose, AAA 750,000 4.750 2024 02/01/04 706,725 723,008
CA, Tax Alloc. Bonds (Merged Area Redev. @ 102.000
Proj.), Ser. 1993 (MBIA Ins.)

----------- --------- ---------
TOTAL $ 4,750,000 $ 4,675,263 $ 4,797,149
=========== ========= =========

See Notes to Portfolios on Page D - 26.

</TABLE>

D - 7.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (CALIFORNIA INTERMEDIATE
INSURED TRUST),
DEFINED ASSET FUNDS

STATEMENT OF CONDITION
As of November 30, 1998

<TABLE>
<S> <C> <C>
TRUST PROPERTY:
Investment in marketable securities -
at value (cost $ 3,368,583) (Note 1) ........ $ 3,494,855
Accrued interest ............................... 67,042
Accrued interest on Segregated Bonds (Note 5) .. 2,432
Cash - principal ............................... 26,000
Cash - income on Segregated Bonds .............. 2,300
Deferred organization costs (Note 6) ........... 2,639
-----------
Total trust property ......................... 3,595,268

LESS LIABILITIES:
Income advance from Trustee..................... $ 56,989
Deferred sales charge (Note 5) ................. 32,924
Accrued Sponsors' fees ......................... 1,381
Other liabilities (Note 6) ..................... 2,639 93,933
----------- -----------

NET ASSETS, REPRESENTED BY:
3,276 units of fractional undivided
interest outstanding (Note 3)................ 3,492,663

Undistributed net investment income ............ 8,672 $ 3,501,335
----------- ===========

UNIT VALUE ($ 3,501,335 / 3,276 units )........... $ 1,068.78
===========

</TABLE>

See Notes to Financial Statements.

D - 8.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (CALIFORNIA INTERMEDIATE
INSURED TRUST),
DEFINED ASSET FUNDS

STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
December 12, 1997
to
November 30,
1998
----

<S> <C>
INVESTMENT INCOME:
Interest income ........................ $ 151,439
Interest income on Segregated
Bonds (Note 5) ....................... 4,732
Trustee's fees and expenses ............ (5,610)
Sponsors' fees ......................... (1,465)
------------
Net investment income .................. 149,096

Unrealized appreciation
of investments ......................... 126,272
------------

NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS .............. $ 275,368
============

</TABLE>

See Notes to Financial Statements.

D - 9.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (CALIFORNIA INTERMEDIATE
INSURED TRUST),
DEFINED ASSET FUNDS

STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
December 12, 1997
to
November 30,
1998
----

<S> <C>
OPERATIONS:
Net investment income .................. $ 149,096
Unrealized appreciation
of investments ....................... 126,272
------------
Net increase in net assets
resulting from operations ............ 275,368

------------
INCOME DISTRIBUTIONS TO
HOLDERS (Note 2)....................... (135,692)

SHARE TRANSACTIONS (Note 5):
Deferred sales charge:
Principal ............................ (32,924)

------------
NET INCREASE IN NET ASSETS ............... 106,752

NET ASSETS AT BEGINNING OF PERIOD ........ 3,394,583
------------
NET ASSETS AT END OF PERIOD .............. $ 3,501,335
============
PER UNIT:
Income distributions during
period ............................... $ 41.42
============
Net asset value at end of
period ............................... $ 1,068.78
============
TRUST UNITS:
Outstanding at end of period ........... 3,276
============

</TABLE>

See Notes to Financial Statements.

D - 10.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (CALIFORNIA INTERMEDIATE
INSURED TRUST),
DEFINED ASSET FUNDS

NOTES TO FINANCIAL STATEMENTS

1. SIGNIFICANT ACCOUNTING POLICIES

The Fund is registered under the Investment Company Act of 1940 as a Unit
Investment Trust. The following is a summary of significant accounting
policies consistently followed by the Fund in the preparation of its
financial statements. The policies are in conformity with generally
accepted accounting principles.

(A) Securities are stated at value as determined by the Evaluator based on
bid side evaluations for the securities (see "How to Sell Units - Trustee's
Redemption of Units" in this Prospectus, Part B), except that value on
December 12, 1997 was based upon offering side evaluations at December 10,
1997, the day prior to the Date of Deposit. Cost of securities at December
12, 1997 was also based on such offering side evaluations.

(B) The Fund is not subject to income taxes. Accordingly, no provision for
such taxes is required.

2. DISTRIBUTIONS

A distribution of net investment income is made to Holders each month.
Receipts other than interest, after deductions for redemptions and
applicable expenses, are distributed as explained in "Income, Distributions
and Reinvestment - Distributions" in this Prospectus, Part B.

3. NET CAPITAL
<TABLE>
<S> <C>

Cost of 3,276 units at Date of Deposit ..................... $ 3,394,583
Transfer to capital of interest on Segregated Bonds (Note 5) 4,732
Deferred sales charge (Note 5) ............................. (32,924)
Unrealized appreciation of investments...................... 126,272
-----------

Net capital applicable to Holders .......................... $ 3,492,663
===========

</TABLE>

4. INCOME TAXES

As of November 30, 1998, unrealized appreciation of investments, based on
cost for Federal income tax purposes, aggregated $126,272, all of which
related to appreciated securities. The cost of investment securities for
Federal income tax purposes was $3,368,583 at November 30, 1998.

D - 11.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (CALIFORNIA INTERMEDIATE
INSURED TRUST),
DEFINED ASSET FUNDS

NOTES TO FINANCIAL STATEMENTS

5. DEFERRED SALES CHARGE

$120,000 face amount of California Hlth. Fac. Fin. Auth., Ins. Rev. Bonds,
Ser. 1997 A have been segregated to fund the deferred sales charges. The
sales charges are being paid for with the interest received and by periodic
sales or maturity of these bonds. A deferred sales charge of $3.75 per Unit
is charged on a quarterly basis, and paid to the Sponsors periodically by
the Trustee on behalf of the Holders, up to an aggregate of $45.00 per Unit
over the first three years of the life of the Fund. Should a Holder redeem
Units prior to the third anniversary of the Fund, the remaining balance of
the deferred sales charge will be charged.

6. DEFERRED ORGANIZATION COSTS

Deferred organization costs are being amortized over five years. Included
in "Other liabilities" is $2,639 payable to the Trustee for reimbursement
of costs related to the organization of the Trust.

D - 12.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (CALIFORNIA INTERMEDIATE
INSURED TRUST),
DEFINED ASSET FUNDS

PORTFOLIO
As of November 30, 1998

Rating of Optional
Portfolio No. and Title of Issues Face Redemption
Securities (1) (4) Amount Coupon Maturities(3) Provisions(3) Cost(2) Value(2)
---------- --------- ----------- ----------- ------------ ------------ ---------- ---------

<S> <C> <C> <C> <C> <C> <C> <C>
1 California Statewide Cmnty. Dev. Auth., AAA $ 500,000 5.050 % 2010 12/01/07 $ 504,465 $ 523,215
Certs. of Part. (Huntington East Valley @ 102.000
Hosp.) (AMBAC Ins.)

2 County of Alameda, CA, Certs. of Part. AAA 500,000 5.000 2011 06/01/07 500,000 520,740
(Rfdg. and Cap. Proj.), Ser. 1997 @ 102.000
(AMBAC Ins.)

3 County of Alameda, CA, Certs. of Part. AAA 50,000 4.000 1999 None 50,071 50,242
(Rfdg. and Cap. Proj.), Ser. 1997
(AMBAC Ins.) (6) 40,000 4.100 2000 None 40,093 40,446

30,000 4.100 2001 None 30,000 30,394

4 Arcade Wtr. Dist., Sacramento Cnty., AAA 315,000 4.750 2011 11/01/07 308,710 321,180
CA, 1997 Wtr. Rev. Certs. of Part. @ 102.000
(Financial Guaranty Ins.)

5 San Jose Unified Sch. Dist., Santa AAA 230,000 4.900 2011 06/01/04 230,000 236,495
Clara Cnty., CA, Certs. of Part. (FSA @ 101.000
Ins.)

6 Community Dev. Comm. of the City of AAA 500,000 4.700 2008 08/01/07 500,000 519,270
Commerce, CA, Redev. Proj. No. 1, Tax @ 102.000
Alloc. Rfdg. Bonds, Ser. 1997A (MBIA
Ins.)

7 El Cerrito Redev. Agy., CA, Tax Alloc. AAA 340,000 4.700 2009 07/01/08 338,490 351,281
Rfdg. Bonds (El Cerrito Redev. Proj. @ 102.000
Area), Ser. 1997A (MBIA Ins.)

8 City of Encinitas, CA, Rfdg. Certs. of AAA 435,000 4.750 2010 None 435,000 452,792
Part. (Civic Ctr. Proj.), Ser. 1997A
(MBIA Ins.)

9 Olivehain Mun. Wtr. Dist., CA, Wtr. AAA 430,000 4.750 2009 06/01/06 431,754 448,800
Rev. Certs. of Part. (1997 Cap. Proj. @ 101.000
and Rfdg.) (Financial Guaranty Ins.)

----------- --------- ---------
TOTAL $ 3,370,000 $ 3,368,583 $ 3,494,855
=========== ========= =========

See Notes to Portfolios on Page D - 26.

</TABLE>

D - 13.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (NEW JERSEY TRUST),
DEFINED ASSET FUNDS

STATEMENT OF CONDITION
As of November 30, 1998

<TABLE>
<S> <C> <C>
TRUST PROPERTY:
Investment in marketable securities -
at value (cost $ 3,555,130)(Note 1) ......... $ 3,641,492
Securities called for redemption -
at value (cost $ 35,083)(Note 5) ............ 35,000
Accrued interest ............................... 54,693
Accrued interest on Segregated Bonds (Note 5) .. 2,724
Cash - income .................................. 212
Cash - income on Segregated Bonds .............. 3,424
Cash - principal ............................... 30,000
Deferred organization costs (Note 6) ........... 2,844
-----------
Total trust property ......................... 3,770,389

LESS LIABILITIES:
Income advance from Trustee..................... $ 43,428
Deferred sales charge (Note 5) ................. 4,713
Principal payments payable (Segregated Bonds) .. 35,000
Accrued Sponsors' fees ......................... 1,495
Other liabilities (Note 6) ..................... 2,844 87,480
----------- -----------

NET ASSETS, REPRESENTED BY:
3,530 units of fractional undivided
interest outstanding (Note 3)................ 3,672,927

Undistributed net investment income ............ 9,982 $ 3,682,909
----------- ===========

UNIT VALUE ($ 3,682,909 / 3,530 units )........... $ 1,043.32
===========

</TABLE>

See Notes to Financial Statements.

D - 14.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (NEW JERSEY TRUST),
DEFINED ASSET FUNDS

STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
December 12, 1997
to
November 30,
1998
----

<S> <C>
INVESTMENT INCOME:
Interest income ........................ $ 174,300
Interest income on Segregated
Bonds (Note 5) ....................... 6,148
Trustee's fees and expenses ............ (6,955)
Sponsors' fees ......................... (1,584)
------------
Net investment income .................. 171,909

UNREALIZED APPRECIATION
OF INVESTMENTS ....................... 86,279
------------

NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS .............. $ 258,188
============

</TABLE>

See Notes to Financial Statements.

D - 15.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (NEW JERSEY TRUST),
DEFINED ASSET FUNDS

STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
December 12, 1997
to
November 30,
1998
----

<S> <C>
OPERATIONS:
Net investment income .................. $ 171,909
Unrealized appreciation
of investments ....................... 86,279
------------
Net increase in net assets
resulting from operations ............ 258,188

INCOME DISTRIBUTIONS TO
HOLDERS (Note 2)....................... (155,779)

SHARE TRANSACTIONS (Note 5):
Deferred sales charge:
Principal ........................... (39,713)

NET INCREASE IN NET ASSETS ............... ------------
62,696

NET ASSETS AT BEGINNING OF PERIOD ........ 3,620,213
------------
NET ASSETS AT END OF PERIOD .............. $ 3,682,909
============
PER UNIT:
Income distributions during
period ............................... $ 44.13
============
Net asset value at end of
period ............................... $ 1,043.32
============
TRUST UNITS:
Outstanding at end of period ........... 3,530
============

</TABLE>

See Notes to Financial Statements.

D - 16.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (NEW JERSEY TRUST),
DEFINED ASSET FUNDS

NOTES TO FINANCIAL STATEMENTS

1. SIGNIFICANT ACCOUNTING POLICIES

The Fund is registered under the Investment Company Act of 1940 as a Unit
Investment Trust. The following is a summary of significant accounting
policies consistently followed by the Fund in the preparation of its
financial statements. The policies are in conformity with generally
accepted accounting principles.

(A) Securities are stated at value as determined by the Evaluator based on bid
side evaluations for the securities (see "How to Sell Units - Trustee's
Redemeption of Units" in this Prospectus, Part B), except that value on
December 12, 1997 was based upon offering side evaluations at December 10,
1997, the day prior to the Date of Deposit. Cost of securities at December
12, 1997 was also based on such offering side evaluations.

(B) The Fund is not subject to income taxes. Accordingly, no provision for
such taxes is required.

2. DISTRIBUTIONS

3. NET CAPITAL
<TABLE>
<S> <C>

Cost of 3,530 units at Date of Deposit ..................... $ 3,620,213
Transfer to capital of interest on Segregated Bonds (Note 5) 6,148
Deferred sales charge (Note 5) ............................. (39,713)
Net unrealized appreciation of investments ................. 86,279
-----------

Net capital applicable to Holders .......................... $ 3,672,927
===========

</TABLE>

4. INCOME TAXES

As of November 30, 1998, net unrealized appreciation of investments
(including securities called for redemption), based on cost for
Federal income tax purposes, aggregated $86,279, of which $217 related
to depreciated securities and $86,496 related to appreciated
securities. The cost of investment securities for Federal income tax
purposes was $3,590,213 at November 30, 1998.

5. SECURITIES CALLED FOR REDEMPTION

$ 35,000 face amount of Monmouth Cnty., NJ, Imp. Auth., Govt. Loan Rev.
Bonds, Ser. 1997 were redeemed on December 1, 1998. Such securities
are valued at the amount of proceeds susequently received.

D - 17.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (NEW JERSEY TRUST),
DEFINED ASSET FUNDS

NOTES TO FINANCIAL STATEMENTS

5. DEFERRED SALES CHARGE

$25,000 face amount of Glouchester Cnty., NJ, The Bd. of Educ. of
the Clearview Regl. High Sch. Dist, $15,000 face amount of
Middlesex Cnty., NJ, Util. Auth., Swr. Rev. Bonds, Ser. 1991A and
$110,000 face amount of Monmouth Cnty., NJ, Imp. Auth., Govt.
Loan Rev. Bonds, Ser. 1997 have been segregated to fund the
deferred sales charges. The sales charges are being paid for with
the interest received and by periodic sales or maturity of these
bonds. A deferred sales charge of $3.75 per Unit is charged on a
quarterly basis, and paid to the Sponsors periodically by the
Trustee on behalf of the Holders, up to an aggregate of $45.00
per Unit over the first three years of the life of the Fund.
Should a Holder redeem Units prior to the third anniversary of
the Fund, the remaining balance of the deferred sales charge will
be charged.

6. DEFERRED ORGANIZATION COSTS

Deferred organization costs are being amortized over five years.
Included in "Other liabilities" is $2,844 payable to the Trustee
for reimbursement of costs related to the organization of the
Trust.

D - 18.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (NEW JERSEY TRUST),
DEFINED ASSET FUNDS

PORTFOLIO
As of November 30, 1998

<S> <C> <C> <C> <C> <C> <C> <C>
1 The Delaware River and Bay Auth., NJ, AAA $ 550,000 4.750 % 2024 01/01/04 $ 514,877 $ 529,683
Rev. Bonds, Ser. 1993 (MBIA Ins.) @ 102.000

2 New Jersey Econ. Dev. Auth. Rev. AAA 250,000 5.000 2025 07/01/06 242,712 250,555
Bonds (Clara Maass Hlth. Sys. Obligated @ 102.000
Group Proj.), Ser. 1996 (FSA Ins.)

3 New Jersey Hlth. Care Facs. Fin. Auth. AAA 550,000 5.375 2019 07/01/07 555,879 568,139
Rev. and Rfdg. Bonds, AHS Hosp. Corp. @ 102.000
Issue, Ser. 1997A (AMBAC Ins.)

4 New Jersey Hsg. and Mtge. Fin. Agy., AAA 550,000 5.400 2028 11/01/07 550,000 565,983
Multifamily Hsg. Rev. Bonds, Ser. @ 101.500
1997B (AMBAC Ins.)

5 The Port Auth. of New York and New AAA 550,000 4.750 2026 01/15/06 517,489 533,649
Jersey, Consol. Bonds, One Hundred @ 101.000
Fourth Ser. (AMBAC Ins.)

6 Essex Cnty., NJ, Imp. Auth. G.O. Gtd. AAA 500,000 5.450 2027 10/01/07 510,195 522,415
Lease Rev. Bonds (Sportsplex Proj.), @ 101.000
Ser. 1997A (AMBAC Ins.)

7 Gloucester Cnty., NJ, The Bd. of Educ. Aaa(m) 25,000 4.000 1999 None 25,019 25,157
of The Clearview Regl. High Sch. Dist.
(Financial Guaranty Ins.) (6)

8 Middlesex Cnty., NJ, Util. Auth., Swr. AAA 15,000 6.200 2001 None 15,976 15,842
Rev. Bonds, Ser. 1991A (Financial
Guaranty Ins.) (6)

9 Monmouth Cnty., NJ, Improvement Auth., AAA 25,000 4.000 1999 None 25,000 25,218
Govt. Loan Rev. Bonds, Ser. 1997 (AMBAC
Ins.) (6) 50,000 4.000 2000 None 49,930 50,511

10 The North Hudson Sewerage Auth., NJ, AAA 550,000 5.125 2022 08/01/06 548,053 554,340
Swr. Rev. Bonds, Ser. 1996 (Financial @ 101.000
Guaranty Ins.)

----------- --------- ---------
TOTAL $ 3,615,000 $ 3,555,130 $ 3,641,492
=========== ========= =========

See Notes to Portfolios on Page D - 26.

</TABLE>

D - 19.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (NEW YORK TRUST),
DEFINED ASSET FUNDS

STATEMENT OF CONDITION
As of November 30, 1998

<TABLE>
<S> <C> <C>
TRUST PROPERTY:
Investment in marketable securities -
at value (cost $ 5,102,674) (Note 1)......... $ 5,257,804
Accrued interest ............................... 84,275
Accrued interest on Segregated Bonds (Note 5) .. 4,346
Income payments receivable (Segregated Bonds) .. 105
Cash - principal ............................... 48,214
Cash - income on Segregated Bonds .............. 4,715
Deferred organization costs (Note 6) ........... 4,064
-----------
Total trust property ......................... 5,403,523

LESS LIABILITIES:
Income advance from Trustee..................... $ 67,199
Deferred sales charge (Note 5) ................. 54,809
Principal payments payable (Segregated Bonds) .. 3,669
Accrued Sponsors' fees ......................... 2,132
Other liabilities (Note 6) ..................... 4,064 131,873
----------- -----------

NET ASSETS, REPRESENTED BY:
4,994 units of fractional undivided
interest outstanding (Note 3)................ 5,256,706

Undistributed net investment income ............ 14,944 $ 5,271,650
----------- ===========

UNIT VALUE ($ 5,271,650 / 4,994 units )........... $ 1,055.60
===========

</TABLE>

See Notes to Financial Statements.

D - 20.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (NEW YORK TRUST),
DEFINED ASSET FUNDS

STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
December 12, 1997
to
November 30,
1998
----

<S> <C>
INVESTMENT INCOME:
Interest income ........................ $ 260,729
Interest income on Segregated
Bonds (Note 5) ....................... 9,166
Trustee's fees and expenses ............ (8,532)
Sponsors' fees ......................... (2,258)
------------
Net investment income .................. 259,105
------------

REALIZED AND UNREALIZED GAIN
ON INVESTMENTS:
Realized gain on
securities sold or redeemed .......... 1,274
Unrealized appreciation
of investments ....................... 155,130
------------
Net realized and unrealized
gain on investments ................. 156,404
------------

NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS .............. $ 415,509
============

</TABLE>

See Notes to Financial Statements.

D - 21.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (NEW YORK TRUST),
DEFINED ASSET FUNDS

STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
December 12, 1997
to
November 30,
1998
----

<S> <C>
OPERATIONS:
Net investment income .................. $ 259,105
Realized gain on
securities sold or redeemed .......... 1,274
Unrealized appreciation
of investments ....................... 155,130
------------
Net increase in net assets
resulting from operations ............ 415,509
------------

INCOME DISTRIBUTIONS TO
HOLDERS (Note 2)....................... (234,865)
------------

SHARE TRANSACTIONS:
Deferred sales charge (Note 5):
Principal ............................ (58,478)

Redemption amounts:
Income ............................... (130)
Principal ............................ (52,128)
------------
Net share transactions ................. (110,736)
------------

NET INCREASE IN NET ASSETS ............... 69,908

NET ASSETS AT BEGINNING OF PERIOD ........ 5,201,742
------------
NET ASSETS AT END OF PERIOD .............. $ 5,271,650
============
PER UNIT:
Income distributions during
period ............................... $ 46.64
============
Net asset value at end of
period ............................... $ 1,055.60
============
TRUST UNITS:
Redeemed during period ................. 51
Outstanding at end of period ........... 4,994
============

</TABLE>

See Notes to Financial Statements.

D - 22.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (NEW YORK TRUST),
DEFINED ASSET FUNDS

NOTES TO FINANCIAL STATEMENTS

1. SIGNIFICANT ACCOUNTING POLICIES

The Fund is registered under the Investment Company Act of 1940
as a Unit Investment Trust. The following is a summary of
significant accounting policies consistently followed by the Fund
in the preparation of its financial statements. The policies are
in conformity with generally accepted accounting principles.

(A) Securities are stated at value as determined by the Evaluator
based on bid side evaluations for the securities (see "How to
Sell Units - Trustee's Redemption of Units" in this Prospectus,
Part B), except that value on December 12, 1997 was based upon
offering side evaluations at December 10, 1997, the day prior to
the Date of Deposit. Cost of securities at December 12, 1997 was
also based on such offering side evaluations.

(B) The Fund is not subject to income taxes. Accordingly, no
provision for such taxes is required.

2. DISTRIBUTIONS

A distribution of net investment income is made to Holders each
month. Receipts other than interest, after deductions for
redemptions and applicable expenses, are distributed as explained
in "Income, Distributions and Reinvestment - Distributions" in
this Prospectus, Part B.

3. NET CAPITAL
<TABLE>
<S> <C>

Cost of 4,994 units at Date of Deposit ..................... $ 5,149,157
Transfer to capital of interest on Segregated Bonds (Note 5) 9,166
Redemptions of units - net cost of 51 units redeemed
less redemption amounts (principal)....................... 457
Deferred sales charge (Note 5) ............................. (58,478)
Realized gain on securities sold or redeemed ............... 1,274
Net unrealized appreciation of investments.................. 155,130
-----------

Net capital applicable to Holders .......................... $ 5,256,706
===========

</TABLE>

4. INCOME TAXES

As of November 30, 1998, net unrealized appreciation of
investments, based on cost for Federal income tax purposes,
aggregated $155,130, of which $240 related to depreciated
securities and $155,370 related to appreciated securities. The
cost of investment securities for Federal income tax purposes was
$5,102,674 at November 30, 1998.

D - 23.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (NEW YORK INSURED TRUST),
DEFINED ASSET FUNDS

NOTES TO FINANCIAL STATEMENTS

5. DEFERRED SALES CHARGE

$205,000 face amount of Niagra Wheatfield Central School Dist.,
Niagra Cnty., NY, Sch. Dist. Serial Bonds - 1997, have been
segregated to fund the deferred sales charges. The sales charges
are being paid for with the interest received and by periodic
sales or maturity of these bonds. A deferred sales charge of
$3.75 per Unit is charged on a quarterly basis, and paid to the
Sponsors periodically by the Trustee on behalf of the Holders, up
to an aggregate of $45.00 per Unit over the first three years of
the life of the Fund. Should a Holder redeem Units prior to the
third anniversary of the Fund, the remaining balance of the
deferred sales charge will be charged.

6. DEFERRED ORGANIZATION COSTS

Deferred organization costs are being amortized over five years.
Included in "Other liabilities" is 4,064 payable to the Trustee
for reimbursement of costs related to the organization of the
Trust.

D - 24.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (NEW YORK TRUST),
DEFINED ASSET FUNDS

PORTFOLIO
As of November 30, 1998

Rating Optional
Portfolio No. and Title of of Face Redemption
Securities Issues(1) Amount Coupon Maturities(3) Provisions(3) Cost(2) Value(2)
---------- --------- ----------- ----------- ------------ ------------ ---------- ---------

<S> <C> <C> <C> <C> <C> <C> <C>
1 New York State Urban Dev. Corp., Corr. BBB+ $ 650,000 5.375 % 2023 01/01/04 $ 638,996 $ 659,328
Cap. Fac. Rev. Bonds, Ser. 4 @ 102.000

2 Dormitory Auth. of the State of New BBB+ 775,000 5.500 2025 07/01/06 778,046 799,420
York, Dept. of Hlth., Rev. Bonds, Ser. @ 102.000
1996

3 Dormitory Auth. of the State of New BBB+ 750,000 5.375 2024 01/01/08 742,125 764,085
York, City Univ. Sys. Consol. Third @ 102.000
Gen. Resolution Rev. Bonds, 1997 Ser. 1

4 Dormitory Auth. of the State of New AA 750,000 5.500 2027 07/01/07 753,150 782,378
York, Frances Schervier Home and Hosp. @ 102.000
Ins. Rev. Bonds (Franciscan Hlth.
Partnership Oblig. Grp.), Ser. 1997
(Asset Guaranty Ins.) (5)

5 The City of New York, NY, G.O. Bonds, A- 750,000 5.250 2021 11/15/07 725,183 754,950
Fiscal Ser. 1998C @ 101.000

6 Niagara Wheatfield Central Sch. Dist., Aaa(m) 80,000 4.600 1999 None 80,932 80,692
Niagara Cnty., NY, Sch. Dist. Serial
Bonds - 1997 (6) 75,000 4.600 2000 None 76,245 76,340

50,000 4.600 2001 None 50,974 51,265

7 Town of Amherst, NY, Indl. Dev. Agy., A 770,000 5.650 2022 10/01/07 786,578 804,211
Lease Rev. Bonds (Amherst Multi-Surface @ 102.000
Rink Complex Proj.), Ser. 1997A (Letter
of Credit - KeyBank National Assoc.)(7)

8 The Port Auth. of New York and New AAA 500,000 4.750 2026 01/15/06 470,445 485,135
Jersey, Consol. Bonds, One Hundred @ 101.000
Fourth Ser. (AMBAC Ins.) (5)

----------- --------- ---------
TOTAL $ 5,150,000 $ 5,102,674 $ 5,257,804
=========== ========= =========

See Notes to Portfolios on Page D - 26.

</TABLE>

D - 25.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (CALIFORNIA INSURED, CALIFORNIA
INTERMEDIATE INSURED, NEW JERSEY INSURED AND NEW YORK TRUSTS),
DEFINED ASSET FUNDS

NOTES TO PORTFOLIOS
As of November 30, 1998

(1) The ratings of the bonds are by Standard & Poor's Ratings Group,
or by Moody's Investors Service, Inc if followed by "(m)", or by
Fitch Investors Service, Inc. if followed by "(f)"; "NR"
indicates that this bond is not currently rated by any of the
above mentioned rating services. These ratings have been
furnished by the Evaluator but not confirmed with the rating
agencies. See "Description of Ratings" in Part B of this
Prospectus.

(2) See Notes to Financial Statements.

(3) Optional redemption provisions, which may be exercised in whole
or in part, are initially at prices of par plus a premium, then
subsequently at prices declining to par. Certain securities may
provide for redemption at par prior or in addition to any
optional or mandatory redemption dates or maturity, for example,
through the operation of a maintenance and replacement fund, if
proceeds are not able to be used as contemplated, the project is
condemned or sold or the project is destroyed and insurance
proceeds are used to redeem the securities. Many of the
securities are also subject to mandatory sinking fund redemption
commencing on dates which may be prior to the date on which
securities may be optionally redeemed. Sinking fund redemptions
are at par and redeem only part of the issue. Some of the
securities have mandatory sinking funds which contain optional
provisions permitting the issuer to increase the principal amount
of securities called on a mandatory redemption date. The sinking
fund redemptions with optional provisions may, and optional
refunding redemptions generally will, occur at times when the
redeemed securities have an offering side evaluation which
represents a premium over par. To the extent that the securities
were acquired at a price higher than the redemption price, this
will represent a loss of capital when compared with the Public
Offering Price of the Units when acquired. Distributions will
generally be reduced by the amount of the income which would
otherwise have been paid with respect to redeemed securities and
there will be distributed to Holders any principal amount and
premium received on such redemption after satisfying any
redemption requests for Units received by the Fund. The estimated
current return may be affected by redemptions. The tax effect on
Holders of redemptions and related distributions is described
under "Taxes" in this Prospectus, Part B.

(4) All securities are insured, either on an individual basis or by
portfolio insurance, by a municipal bond insurance company which
has been assigned "AAA" claims paying ability by Standard &
Poor's. Accordingly, Standard & Poor's has assigned a "AAA"
rating to the securities. Securities covered by portfolio
insurance are rated "AAA" only as long as they remain in the
Trust. See "Risk Factors - Bonds Backed by Letters of Credit or
Insurance" in this Prospectus, Part B.

(5) Insured by the indicated municipal bond insurance company. See
"Risk Factors - Bonds Backed by Letters of Credit or Insurance"
in this Prospectus, Part B.

(6) These bonds have been segregated to fund the deferred sales
charges.

D - 26.

<PAGE>

MUNICIPAL INVESTMENT TRUST FUND,
MULTISTATE SERIES - 319 (CALIFORNIA INSURED, CALIFORNIA
INTERMEDIATE INSURED, NEW JERSEY INSURED AND NEW YORK TRUSTS),
DEFINED ASSET FUNDS

NOTES TO PORTFOLIOS
As of November 30, 1998

(7) Certain bonds are covered by letters of credit which may expire
prior to the maturity dates of the bonds. Upon expiration of a
letter of credit, the issuer of the bond is obligated to obtain a
replacement letter of credit or call the bond.

D - 27.

<PAGE>
Defined
Asset FundsSM

HAVE QUESTIONS ? MUNICIPAL INVESTMENT TRUST FUND
Request the most MULTISTATE SERIES--319
recent free Information (A Unit Investment Trust)
Supplement that gives more ---------------------------------------
details about the Fund, This Prospectus does not contain
by calling: complete information about the
The Chase Manhattan Bank investment company filed with the
1-800-323-1508 Securities and Exchange Commission in
Washington, D.C. under the:
o Securities Act of 1933 (file no.
333-35121) and
o Investment Company Act of 1940 (file
no. 811-1777).
TO OBTAIN COPIES AT PRESCRIBED RATES--
WRITE: Public Reference Section of the
Commission
450 Fifth Street, N.W., Washington,
D.C. 20549-6009
CALL: 1-800-SEC-0330.
VISIT: http://www.sec.gov.
---------------------------------------
No person is authorized to give any
information or representations about
this Fund not contained in this
Prospectus or the Information
Supplement, and you should not rely on
any other information.
---------------------------------------
When units of this Fund are no longer
available, this Prospectus may be used
as a preliminary prospectus for a
future series, but some of the
information in this Prospectus will be
changed for that series.
Units of any future series may not be
sold nor may offers to buy be accepted
until that series has become effective
with the Securities and Exchange
Commission. No units can be sold in any
State where a sale would be illegal.

11349--2/99