FORM 24F-2
Annual Notice of Securities Sold
Pursuant to Rule 24f-2
1. Name and address of issuer:
Merrill Lynch, Pierce, Fenner & Smith Incorporated
P.O. Box 9051
Princeton, N.J. 08543-9051
2. The name of each series or class of securities
for which this Form is filed (If the Form is being
filed for all series and classes of securities of
the issuer, check the box but do not list series
or classes): [ ]
Municipal Investment Trust Fund Intermediate Term Series 242 Defined Asset Funds
3. Investment Company Act File Number: 811-1777
Securities Act File Number: 33-55901
4(a). Last day of fiscal year for which this Form
is filed: December 31, 1998
4(b). [ ] Check box if this Form is being filed
late (i.e., more than 90 calendar days after the
end of the issuer's fiscal year).(See Instruction A.2)
Note: If the Form is being filed late, interest must
be paid on the registration fee due.
4(c). [ ] Check box if this is the last time the
issuer will be filing this Form.
5. Calculation of registration fee:
(i) Aggregate sale price of securities sold during the
fiscal year pursuant to section 24(f): $706,925.53
(ii) Aggregate price of securities redeemed or
repurchased during the fiscal year: $1,428,484.67
(iii)Aggregate price of securities redeemed or
repurchased during any prior fiscal year
ending no earlier than October 11, 1995 that
were not previously used to reduce registration
fees payable to the Commission: $773,686.71
(iv) Total available redemption credits [add Items 5(ii)
and 5(iii): -$2,202,171.38
(v) Net sales - if Item 5(i) is greater than Item 5(iv)
[subtract Item 5(iv) from Item 5(i)]: $0.00
(vi) Redemption credits available for use in future years
if Item 5(i) is less than Item 5(iv) [subtract Item
5(iv) from Item 5(i)]: $(1,495,245.85)
(vii) Multiplier for determining registration fee (See
Instruction C.9): x_.000278
(viii) Registration fee due [multiply Item 5(v) by Item
5(vii)] (enter ''0'' if no fee is due): =$0.00
__________
6. Prepaid Shares
If the response to Item 5(i) was determined by deducting
an amount of securities that were registered under the
Securities Act of 1933 pursuant to rule 24e-2 as in
Effect before october 11, 1997, then report the amount of
securities (number of shares or other units) deducted here:
0. If there is a number of shares or other units that were
registered pursuant to rule 24e-2 remaining unsold at the
end of the fiscal year for which this form is filed that
are available for use by the issuer in future fiscal years,
then state that number here: 0.
7. Interest due - if this Form is being filed more than 90 days
after the end of the issuer's fiscal year (see Instruction
D): +0.00
8. Total of the amount of the registration fee due plus any
interest due [line 5(viii) plus line 7]:
=$0.00
9. Date the registration fee and any interest payment was sent
to the Commission's lockbox depository:
Method of Delivery:
[ ] Wire Transfer
[ ] Mail or other means
SIGNATURES
This report has been signed below by the following persons on
behalf of the issuer and in the capacities and on the dates
indicated.
By (Signature and Title) *
by Merrill Lynch, Pierce, Fenner & Smith
Incorporated, Agent for the Sponsors
By /s/ J. David Meglen
Vice President
Date March 16, 1999
*Please print the name and title of the signing officer below
the signature.
