Warranty not refunded for quality reasons into which accounting account

Supplier accounts

Warranty deposits that are not refunded due to quality reasons are penalty income, and should be entered into the "non-operating income" accounting account

Borrow: Other Accounts Payable ---- Warranty Deposit

Credit: Non-Operating Income

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Seller's accounting:

The warranty that is not refunded due to quality reasons is a penalty expense, and should be entered into the "non-operating expenses" accounting account

Borrow: non-operating expenses

Credit: Other receivables ---- warranty deposit