TheTAZZone, have you ever gone to an AdSense in your City event? The AdSense team will look at your site and give you some recommendations. Also, you'll meet webmasters who are very serious about their websites. They are asking the same types of questions about their sites that you are asking here. I found that to be as valuable as the presentation.
Another observation... if your host is suspending your account and telling you to reduce hotlinking, well that's a little too involved for me. If you are on shared hosting, then my advice is to look for something a little more robust. I don't know if this will help your AdSense earnings but it's more of a business thing, mainly to keep your host out of your business.