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Device-to-Device communication enables high-speed services in the traditional cellular networks but brings potentially mutual interference. In this paper, the heterogeneous network of D2D and IMT-Advanced in a single cell is considered, where the D2D communication is assumed to share the uplink resource with cellular user. The definition of mode selection is first introduced and then a novel distance-dependent algorithm with power optimization is proposed, aiming at selecting the optimal transmission mode with the overall capacity maximized and QoS of cellular user satisfied at the cost of nearly the least essential information for decision-making. The simulation results prove that the novel algorithm tends to the theoretical optimal results based on merely a few parameters instead of traversal analysis, which is much more significative in practical application than the traditional ergodic way.