Reproduction of fixed assets can be simple, expanded and narrowed. In the first case there is a simple replacement of worn-out fixed assets by fixed assets to similar technical and economic characteristics. Expanded reproduction assumes increase in capacities in the intensive or extensive way, i.e., respectively, through improvement of quality of fixed assets with use of achievements of scientific and technical progress or accumulation of quantity of fixed assets. Understand lack of updating of fixed assets and their gradual degradation as the narrowed reproduction.
In practice any the commercial organization finances the activity, and including investment, from various sources. Thus she pays percent, dividends, remunerations, etc. for use of financial resources. The indicator characterizing the relative level of these expenses is called as the average price of the capital (Weighted Average Cost of Capital, WACC). It reflects the minimum demanded profitability of the capital of the organization and pays off on a formula of the average arithmetic weighed
On the basis of interdependence it is possible to allocate two types of investment projects: alternative (vzaimoisklyuchayushch (acceptance of one of them means impossibility of acceptance of another) and independent (acceptance of one of them does not influence the decision on acceptance of another).