Select the correct indirect form of the given sentence.

He says, “Some goods are of poor quality.”

He says that some goods are of poor quality.

The correct indirect form of the sentence "He says, 'Some goods are of poor quality'" is He says that some goods are of poor quality.

The other options are incorrect:

• He said that some goods were of poor quality. This is incorrect because the reporting verb "said" is in the past tense, so the tense of the reported speech should also be in the past tense.
• He says that some goods were of poor quality. This is incorrect because the reported speech is in the present tense, but the reporting verb is in the present tense.
• He says that some goods are of poor quality. This is incorrect because the reported speech is in the past tense, but the reporting verb is in the present tense.