 Applegate graduated from the University of Oregon with a Business Degree in 1940 and went on to take a commission in the US Army as a Second Lieutenant.His first billet was with the 209th Military Police Company as a lung ailment kept him from holding a combat position.In 1941 Applegate was developing armed and unarmed close quarter combat courses for the US Army when he was recruited by Wild Bill Donovan for the OSS, specifically to build and run what was called "The School for Spies and Assassins", the location of which is now Camp David.