You define i,y,i as global variables so there is no need to hand them over to different functions. They can be accessed and changed in all parts of your program.
define instead of
int y;
change to
long y;
and change
void inOut(int &i){
to
void inOut(){
and remove
return i;// Its a global var
change the line
unsigned long y = ((sensorValue*i)/600);
to
y = ((sensorValue*i)/600);
Try to avoid the same names for global and local vars. It might happen that the compiler handles it as a redefinition, which might lead to all sort of trouble in complex programs. (Also for you if you look onto an ill documented code some months later)
And get rid of the delay it stops processing (also your subroutines) see Blinkwithoutdelay how to do it properly
ArduinoIDE->file->examples->2 Digital->Blinkwithoutdelay