Part 1: Make a chart and estimate a linear trendline model for yield, you will need the equation, and the R².

Make ANOTHER chart FOR Barley PRICE that includes a linear trendline, you will need the equations and R². Are barley prices trending up or down?

In the part 1 worksheet set up and estimate a AR(1) model for barley prices using the solver method, also check your results using the Excel regression tool, and you will need the R².

What are the two price forecasting models suggesting about barley prices? Do the models indicate the same trend in price?

In the 'Part 1 Table' worksheet complete the table summarizing the forecasts for the next three years and the R² values for each of the estimated models. In the text box discuss your findings.