Merchants Ltd. issued 10,000, 7.5% debentures of ₹1,000 each on 1st July, 2004 at a price of ₹990. There was a provision at the time of issue that the debentures can be redeemed either by purchase in the market or by draw of lots. The expenses of issue amounting to ₹50,000 were written-off in 2004. In the subsequent year, the entire discount on debentures was written-off. In March 2016, the company purchased debentures worth ₹10,00,000 at ₹975 and in May 2016 worth ₹5,00,000 at ₹980 cum-interest payable on 30th June 2016. Assuming interest is payable half yearly, i.e., on 30th June and 31st December. Prepare the necessary Journal Entries (in 2004 and 2016) recording the above transactions including interest on debentures.