Changes in the prices of key commodities have a significant impact on a company's bottom line. For virtually all companies, the price of energy is a substantial portion of their costs. In addition, many industriesâsuch as those that produce beef, chicken, high-fructose corn syrup, and ethanolâare highly dependent on the price of corn. In particular, corn has seen a significant increase in price. (a) Explain how the cost of energy can be both a fixed cost and a variable cost for a company. (b) Suppose energy is a fixed cost and energy prices rise. What happens to the company's average total cost curve? What happens to its marginal cost curve? Illustrate your answer with a diagram. (c) Explain why the cost of corn is a variable cost but not a fixed cost for an ethanol producer. (d) When the cost of corn goes up, what happens to the average total cost curve of an ethanol producer? What happens to its marginal cost curve? Illustrate your answer with a diagram.

Adog whistle manufacturer's factory was located near a residential area. the manufacturer used the most effective methods for testing its whistles, but it was impossible to completely soundproof the testing area. a breeder of champion show dogs bought some property near the factory and raised and trained her dogs there. although the whistles were too high-pitched to be perceived by human ears, they could be heard by the breeder's dogs. consequently, the dogs often were in a constant state of agitation. in a suit by the breeder against the manufacturer, what is the likely outcome? response - correct a the breeder will prevail on a trespass theory, because the sound waves are entering onto the breeder's property. b the breeder will prevail on a nuisance theory, because the sound of the whistles is a substantial interference with the breeder's use of her land. c the breeder will not prevail, because the sound of the whistles is not a substantial interference with the breeder's use of her land. d the breeder will not prevail, because the manufacturer has acted reasonably in testing its whistles.