When an RMA is created for an Item, if suppose customer did not send the item to Depot, auto-created logistic lines can be cancelled and close the RO and SR?

When an RMA is created but the customer doesn't return the item, you cannot simply cancel the logistics lines and close everything. The RMA and RO require proper business process handling - you may need to formally close the RO with appropriate reason codes, cancel or update the SR through proper workflow, and handle billing implications. Direct cancellation without proper processing can cause data integrity issues.