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"Otto Acme"
one of the original Toons drawn for Acme studios before they switched to producing Toon props and backgrounds.

Acme Studio's, like other cartoon studios of it's time was founded and started producing it's own toons and films in the "Toon Boom" period of 1922-1929 when hundreds of cartoon studios were founded. However within a year the studio was nearing financial ruin and started selling off it "Live Toon props" demand for the Toon props was unexpectedly high due to the difficulty of producing "living toons" and "toon props" Switching production from "Films" to supplying Cartoon props and cartoon backgrounds to other studios reversed the companies finances.

The move to a supplier separated Acme Studios from the highly competitive and hit-or-miss nature of the film industry. While hundreds of studios entered the market, produced a few films and either made it or went bankrupt, Acme made money from just about every Cartoon studio that entered the market which allowed them to weather the Great Depression and the end of the "Toon Boom".