Total return = $5,400 + $200 = $5,600

Sat, 18 Apr 2026 04:09:50 +0000

Understanding Total Return: How $5,400 + $200 Equals $5,600 Explained When evaluating financial investments, understanding total return is essential for accurately assessing performance. Whether you’re managing a portfolio, evaluating mutual funds, or analyzing investment growth, the formula for total return helps paint a complete picture — one that includes not just capital appreciation but also income generated along the way. In this article, we unpack the concept of total return using a simple but impactful example: $5,400 plus $200 equals $5,600. Though seemingly straightforward, this calculation reflects a core principle that investors rely on to measure investment success. ### What Is Total Return?