Compass Inc. purchased 1,250 bags of insulation from Glassco Corporation on account. The bags of insulation cost $5.50 each. Compass paid Tremblay Trucking $320 to have the bags of insulation shipped to its warehouse. Compass returned 50 bags that were defective and paid for the remainder. Assume that Compass uses the periodic inventory system. Required: 1. Prepare the journal entry to record the purchase of the bags of insulation. Purchases Accounts Payable (Purchased inventory on account) Feedback 2. Prepare the entry to record the payment for shipping. Transportation-In Cash (Paid cash for shipping fees)