Lenovo laptop restoration. One-Key Recovery or Windows 10 Reset?

I want to reformat my Lenovo 110 system to complete, out-of-the-box factory settings. If I use the "Initial Setup" program, will the system retain or preserve any image of what had been used prior to running it (and thereby take up space on the hard drive)? Would a full "Reset" through Windows 10 work better to wipe it clean and restore the system to real, authentic factory set conditions? Which program should I use to restore all the original disc space and settings?

The Initial Setup Program should set ti back to the way it came from the factory and it will lost anything that you have added. So if you have anything that you want tom keep be sure to save it to an external drive or something.