Amazon Returning Damaged Inventory to FBA Stock

https://share.cleanshot.com/S3B70L

Amazon is returning “Defective” & “Customer Damaged Items” to my inventory! Why ?

I want to understand if i should account for these units as a loss or if im going to be selling them again. I would have thought that Defective units would be a loss, at least till removed, but amazon is sending them back to inventory.

Why? Any advice?

Thanks