Thanks Lisa for your walk through, Now I see where I was going wrong, was putting the circle dead center which does not make a torus, move it off center and all is well.
Another question I am working on making a model that is like a wooden puzzle and it has pieces cut to make a shape of a tree.
Now I have worked out how to make the over all object and to cut out the middle part by drawing along the lines of the backdrop picture which makes the first object cut out.
this is when I get stuck, I have now have a hole in the middle how do you pick the edges of the parts that are left to make the cut away object so that it is a seamless match.
http://www.freepuzzleplans.com/ link drawings i am using.