Don't you just LOVE all of the Paper Mache letters that are on the market now? I remember the days of trying to cut out or hang heavy wooden letters. That was if you could even find the wood letter you.
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Paper mache clay - really easy to make. 1 roll of toilet paper (cheap 2 ply stuff), Cup of Elmers glue, 1 Cup Joint Compound, Cup Flour. Only i precut toilet paper - actually using scissors to make tiny pcs, and then boiled it.