To fit Teddy Bear Height 14/16 (18/21)inches

Materials
Knitting Worsted weight yarn – 2 (3) ounces Main colour (M) 1 1/2 ounces Contrast colour (C)
Knitting needles size 4

Hat
With M cast on 87(107) sts.
1st row: Kl, *pl, kl; rep from * to end.
2nd row: PI, *kl, p1; rep from * to end.
Rep these 2 rows until rib measures 1 1/4 inches ending with a 1st row.
Working in st st, starting knit, work 2 rows in C and 2 rows in M.
These 4 rows form the stripe pattern. Rep these 4 rows until piece measures 3 (3 1/2) inches, ending with a purl row.

Shape Crown
Keeping stripe pattern correct throughout, continue as follows:
1st row: Kl, *k2tog, k5(6); rep from * to last 9(10) sts, k2tog, knit to end. 75(94) sts remain.
2nd and every alt row: Purl.
3rd row: Kl, *k2tog, k4(5); rep from * to last 8(9) sts, k2tog, knit to end. 63(81) sts remain.
5th row: Kl, *k2tog, k3(4); rep from * to last 7(8) sts, k2tog, knit to end. 51(68) sts remain.
Continue to dec 12(13) sts in this way on every alt row until 27(29) sts remain ending with the purl row.
Next row: Kl, *k2tog; rep from * to end. 14(15) sts remain.
Break yarn, thread through remaining sts, draw up firmly and fasten off.

To finish
Block.
Join back seam, reversing seam on brim.
Turn back brim. Using M make a pom-pom and attach firmly to top of crown.

Scarf
Note: When working 4 rows in each colour, only 2 rows show on each side. The scarf is knitted inside out and turned through to right side before completion. When carrying colours up to use again, leave a little slack as scarf will be stretched slightly during finishing.

With M cast on 28(38) sts.
1st row: *K1, sl 1; rep from * to end.
Rep this row for circular st st working 3 more rows in M, then 4 rows in C. Rep these 8 rows until scarf measures approximately 21 1/4 (25 1/4)inches ending with 4 rows in M.
Slip first and every alt st onto a spare needle at the same time slipping 2nd and every alt st onto a 2nd needle. Using M cast off each side separately.

To finish
Block. Turn scarf to right side and join cast off opening.
Fringe: *Cut 4 lengths of M each 3 1/2 inches long, fold in half and draw loop through first st at one end of scarf, draw ends of strands through loop and tighten thus forming one tassel.
Rep from * along each end at 1/2 inch intervals.