Determine which of the following statements are correct regarding damaged or obsolete goods.

If damaged goods can be sold at a reduced price, they are included in inventory.

Damaged goods are not included in inventory if they cannot be sold.

Damaged goods are included in inventory at their net realizable value.

A loss in value is reported in the period when goods are damaged or become obsolete.

Net realizable value of damaged goods is the sales price of the goods.