Average Return

Average returns are pretty easy to calculate, but not terribly specific (wouldn't you know it, finally an easy calculation and it's not accurate). This is the average of a series of returns, over a specific period of time. It's found by adding all the sums together, then dividing by however many periods you're measuring (you know, averaging).

Some of more common return measures used are Return on Assets (ROA), which is Net Income/Total Assets; Return on Investment (ROI), equation: (Gain from Investment - Cost of Investment)/Cost of Investment; and Return on Equity (ROE), equation: Net Income/Shareholder's Equity.

These different formulas are used based on whether you're measuring returns on an asset (something non-real estate you own), an investment (for example, shares in a business) or property you own.