We present an analytical approach for constructing a solution to the plane axisymmetric elasticity and thermoelasticity problems for a multilayer solid cylinder with arbitrarily variable material properties within each layer. The problems were attempted by means of the direct integration method along with the generalized functions technique. By this means, an explicit-form solution is obtained which allows for the adequate analysis of stresses and displacements in multilayer nonhomogeneous cylinders. Special attention is given to the interlayer stress distributions for the cases of discontinuous, continuous, and smooth variation of the material properties.