The speed sensor sits on top of the engine cases just to the inside of the countershaft sprocket cover. It is a black plastic sensor that has a single bolt holding it in place. Here is a link to a diagram that shows you where it sits and what it looks like:
http://216.37.204.203/Yamaha_OEM/YamahaMC.asp?Type=13&A=268&B=47
Thanks,
RSRBOB
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