Yield refers to the earnings generated and realized on an investment over a particular period of time.

Expressed as an annual percentage, the yield tells investors how much income they will earn each year relative to the cost of their investment.

**Formula to calculate yield.**

**Formula to calculate yield.**

If the annual income of an investment is $ 80,000 and the investment’s value is 120,000. Calculate the yield.

Therefore, the investment’s yield is 80%.