How to factory reset an iPhone SE 2nd gen with a locked account?

Lets try this again, phrased in a slightly different way.

Presumably the phone is “Activation Locked” to an Apple Account.

Until the authenticated owner of that Apple Account actively releases the lock as described in the article linked below, the phone will remain unusable.

How to remove Activation Lock - Apple Support

This is an intentionally-designed theft-deterrent mechanism; intended to render a misappropriated device virtually worthless.

Jozy23 wrote:

I do not have an order receipt for the phone, and all we have is the box.

Which means that you do not have the proof of ownership that would be required to convince Apple to release an Activation Lock.

Just tried the iforgot site through apple and it give the same "account locked and cannot be used" prompt.

If your Apple Account is locked, not active, or disabled - Apple Support

Since this is your friend's account, it is your friend (not you) who should be trying to unlock it. Of course, if your friend locked the phone to her Apple Account, and is not able to convince Apple to unlock the account, and does not have the proof of purchase required for an Activation Lock support request, either, the phone will stay locked.

Can someone please help me get this iPhone factory reset?? My friend gave up

Only your friend can help you. She needs to regain access to her Apple Account, and then follow the directions in this Support article.

What to do before you sell, give away, or trade in your iPhone or iPad - Apple Support

I just want to reset it so I can get rid of it or use it as a backup phone if anything ever happens to my current iPhone.

You won't be able to do that as long as the phone is registered to your friend's Apple Account, with Find My turned on. The anti-theft system effectively considers her to be the owner of the phone, even if, after locking her phone to her account, she did something that somehow got her account locked.

If the account cannot be used, you will be unable to reset the device.