The REFUND ACCOUNT field is the general ledger account that will be used as the account to "refund from" when creating any refunds in your accounting system. If you do not select a REFUND ACCOUNT, then a default account will be created for you. A sample refund receipt is shown below with the default REFUND ACCOUNT highlighted in red.
The name of the default account will be "Undeposited Funds" and the sub type will be "UndepositedFunds". If you already have an existing account that has the same name as our default, then that existing account will be used and a new one will not be created.