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This tutorial will show you how to make a wood texture and then carve it with a pattern with the following results:

The text file, a finished psd file, and the resulting jpg are here.

Open a new document -- it could be any size but we'll start with 400 wide x 350 pixels high.
Use the rectangular marqee tool and make a rectangle that is a bit smaller than your document.
Make a new layer.
Choose a brown from the Swatches palette. Fill the rectangle with brown. Do it again.
Go Filter--->Noise --->Add noise Guassian and Monochromatic. Mine was set to 12.5% at the time I made this but you can tinker to see what happens with other settings.
Go Filter-->Blur--->Motion Blur blur it up to 100 ..tinker to see what looks good. Mine was about 33 I think?
Go image --->adjust --->Auto Contrast or adjust the contrast manually.
Next Image--->Liquefy. Use the "Bloat" tool and any size brush and create :) leave the bloat in one place to create knotty wood. Click OK
Now use the marquee tool to trim away any part that is not woody looking.
Open the ding file and drag a the text layer onto the wood.
With the text layer active, add a layer effect -->Bevel and Emboss (make sure the setting is "down" not "up," Inner Shadow, and Color Overlay. When you apply the Color overlay be sure to choose a color that is similar to your wood to make it look real.
Optimize and save. :)