Janko Wellspring Inc. has a pump with a book value of $42,000 and a 4-year remaining life. A new, more efficient pump, is available at a cost of $63,000. Janko can also receive $9,800 for trading in the old pump. The new pump will reduce variable costs by $13,800 per year over its four-year life. The costs not relevant to the decision of whether or not to replace the pump are:

Which of the following statements is (are) true? i. free entry to a perfectly competitive industry results in the industry's firms earning zero economic profit in the long run, except for the most efficient producers, who may earn economic rent. ii. in a perfectly competitive market, long-run equilibrium is characterized by lmc < p < latc. iii. if a competitive industry is in long-run equilibrium, a decrease in demand causes firms to earn negative profit because the market price will fall below average total cost.