Dave,
You will need a standard 3.5mm AUX cable from 'EAR' to the 'Audio In' portion of the other unit.
Yes, the iFly720 will alert you with a noise and or a notification on your screen of airspace, terrain, traffic, VST settings and AHRS.
To access these features please visit the 'Alerts and Warnings' tab ('Menu' ---> 'Setup' ----> 'Alerts and Warnings') to change your desired Alerts and Warnings.