Come 4.0.6, Unholy will be receiving major nerfs to overall damage (e.g. Pet Damage and a 9% nerf on Scourge Strike via Rage of Rivendare) while 2h frost is going to receive a 12% weapon damage increase bonus, among other norable changes which can be viewed on the current PTR notes. So Frost I expect will be easily outdoing Unholy in the pvp and pve aspect for 70 twinking come that patch. Currently however, I would say it varies heavily playstyle to playstyle.
Frost has the advantage of heavy burst from Obliterate, Lichbourne (which allows you to spam death coils on yourself to heal up to 100%) and Hungering Cold which is an effective CC, albeit dispellable. As well, frost has Chillblains, which is an AoE Snare if you have HB Glyphed. Chains of Ice is now undispellable however. Frost also has the nice advantage of being able to mind freeze without Runic Power cost. Unholy has its perks as well: less mitigatable damage output from Death Coils, A Permanent Pet which if used effectively to keep it alive, can be quite deadly in micromanaging and damage overall based on its stuns. As well, Unholy has Anti Magic Zone for support and the damage output in general, based on my experience, is higher than that of frost, more consistantly. Unholy also has the perk of undispellable debuffs from Unholy Blight. Come the next pmajor patch however, I will most likely have a Two-handed frost main spec. Currently however, I perform much better as Unholy than as frost at the moment. Either way, I love playing either or but I am akin to Unholy, hell, I was even Unholy during the days of Blood Spec dps.
Assuming you like frost spec, to answer your first question, based on tests that I have done as Frost DPS in PvE, I am outperforming 2h frost through Dual Wielding with slow weapons. I do use Unholy Presence for Single handed frost dps while I swap to Frost Presence for AoE, much like Unholy. I expect this answer to change come 4.0.6 with an addition to Might of the Frozen Wastes giving a passive 12% damage increase (while on a side note, Unholy Strength is getting reduced from a 10% buff to strength to 5% - Eww, most likely because Unholy is topping charts at 85 currently), as well as continuing to grant extra runic power which it does currently.
To answer the second question, when I first wrote the guide, my first intentions were PvE at 70, as silly as that sounds. I keep true to my Epoch side. But I do believe the answer to the second question has a subjective hint. Not to brag or anything, but I have a very keen edge against Frost Knights as Unholy, and my audience was intended towards Unholy Death Knights, although I do love perks that Frost has to offer, I love my Unholy perks as well. Unholy used to be regarded as skill at one point in time I guess. But I do love the question

. I agree with you though, I could of done a double guide, it may be a project in the works come 4.0.6 but I'll always have an Unholy spec to stomp around with - the playstyle isnt getting changed and Ill still be able to output a significant amount of damage but Obliterate Crits in my gear in PvE will be easily in the 11.4k Range.
God that was a long post, and if you read the whole thing, I'd be happy