At the end of 2017, Ayayai Corp. has accounts receivable of $1.4 million and an allowance for doubtful accounts of $87,000. On January 16, 2018, Ayayai determined that its $10,000 receivable from Blossom Company will not be collected, and management has authorized its write off. On January 31, 2018, Ayayai received notification that the company will be receiving $0.10 for every $1.00 of accounts receivable relating to Sunland Company The company had previously written off 100% of the amount due from Sunland ($66,000).

Prepare the journal entry for Ayayai Corp. to write off the Blossom receivable and any journal entry necessary to reflect the notice regarding Sunland Company

Sunland Company reinstatement of partial accounts receivable for amounts previously written off and now determined to be collectible: