At year-end (December 31), Chan Company estimates its bad debts as 0.50% of its annual credit sales of $614,000. Chan records its Bad Debts Expense for that estimate. On the following February 1, Chan decides that the $307 account of P. Park is uncollectible and writes it off as a bad debt. On June 5, Park unexpectedly pays the amount previously written off. Prepare Chan's journal entries for the transactions.