Forgotten password - How do I restore to factory settings?

I have a Toshiba Satellite L305-S5919 that is currently locked, and I do not have access to the password required to log into Windows. This computer was given to me by a friend, and after trouble with the performance - I attempted to restore the laptop to a previous date, which took it back to when someone else had the computer and had their own password set. Now I can't get into the computer, and I still need to repair Windows. Will a Factory Restore disc work, or should I try something else?