Hello,  So I removed the carpet to put in laminate flooring and noticed some water damage in the corner.  It’s the outside wall at the corner of my front porch and next to the garage.  I took down the drywall and found water all the way to the ceiling, looked up and could see light from the outside.  Not sure if I need to replace the wood as it still feels sturdy.  Currently drying it out and will remove vinyl siding tomorrow.   My question is, should I plug any holes with expanding foam or just use flashing or both.

Thanks