Guardiola had refused to play Toure due to a series of comments made by the player's agent in the media, but all now appears to be well between the pair.
Very few expected Toure to be involved whatsoever and it came as a huge shock that he was actually starting, but the decision proved to be the right one as he produced two goals to win City the game.
Toure scored with a deflected shot after he combined with Nolito to put City 1-0 up in the first half.
Palace equalised through Connor Wickham with just under 25 minutes to play, but it was that man Yaya Toure who had the final say.
The 33-year-old converted from a Kevin De Bruyne corner to give City the three points, taking them level with Liverpool who drew with Southampton.