How a merchant calculates zakah on capital and profits

Question:
The owner of a shop asks about how to pay zakah from it. Does he pay on the entire capital and profits when the lunar year has passed, even though some of the money has not reached the lunar year?

Answer:
It is obligatory to pay zakah when the lunar year has passed on the original capital, and the profits follow it. If the money he has reached the lunar year, he pays zakah on it and on the profits, even if the profits did not arrive until near the end of the year. The profits follow the capital, just as the offspring of camels do. For example, if he has forty sheep, grazing and well-fed, and at the end of the year they increase to one hundred and twenty-one, he pays zakah on them; they follow the original herd. Or if before the year ends they are less than two hundred and one, and at the end of the year they give birth until they become two hundred and one or more, he pays zakah on the offspring and the rest. The point is that the offspring and profits follow the original capital, if the original capital is the minimum threshold. Yes.