qmosqueen, items that are salvaged are sent out of the store and given to closeout buyers. I'm not sure of the process though - you'd have to ask a receiver.
It won't ring up as free, it will prompt for a price to be entered.
This. If I come across such an item when I'm cashing, I type in the price on the clearance ticket. Or if there's no clearance ticket, I call over the GSTL to check the most recent selling price on the PDA (via Item Search or NOP). Even though we're technically not supposed to sell (unprocessed) missed salvage, isn't it better for Target to make a little money by selling the item rather than salvaging it (or tossing it if it's One Spot)?