The
return on an investment property normally
expressed as a percentage per annum of the
amount invested.
The term is used in different situations to
mean different things. It can be calculated
as a ratio or as an internal rate of return
(IRR). It may be used to state the owner's
total return, or just a portion of income, or exceed
the income.
For example, there are two stock
dividend yields. If you buy a stock for $30
(cost basis) and its current price and
annual dividend is $33 and $1,
respectively, the "cost yield" will be 3.3%
($1/$30) and the "current yield" will be 3%
($1/$33).
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