QS 7-3 (Algo) Recovering a bad debt LO P1 Solstice Company determines on October 1 that it cannot collect $56,000 of its accounts receivable from its customer, P. Moore. it uses the direct write-off method to record this loss as of October 1. On October 30, P. Moore unexpectedly pays his account in full to Solstice Company Record Solstice's entries for recovery of this bad debt. Journal entry worksheet