The directors of Hound Co are aware that it is the larget of a possible takeover bid. The directors wiah to protect their shareholders interests and have carried out a financial investigation, which identified that Hound Co's competior would pay $162m if they wanted to acquire non-current assets, equivalent to those of Hound Co. However, the net realisable value of Hound Co's non-current assets is only $116m and their value in use is $130m. Due to bad debts, the trade recoivables are currently overstated by $5m. The following is an extract from Hound Co's most recent statement of financial position: Which TwO of the following statements, about earnings ylald, are correct? The earnings yield is based on the most recent dividend payment A fall in a company's share price will increase the value of its earnings yield A low risk company would have a similar eamings yield year on year Higher shareholder confidence about a company's future earnings potential, will lead to a higher current earnings yield The following recent data is also available