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b. Connections

Schema of OSD connection to RC and Video system as on picture below. 
There are two battery, one is Main(Engine) battery, other is for Video system only. When those systems have separate supply, video quality and video range is better. 

Optional GND (ground or minus) connection many times help to increase RC range distance (especially at 35-72MHz), but must be verified experimentally for particular equipment and setup . This connection helps also for easier adding external sensors, when we do not need to carry about GND.  

POWER - supply power for OSD (7,5V-12,6V) - voltage on this input is measured automatically (range 0-15V)
ENG - input for main(Engine) battery voltage measurement
Video IN/OUT - self explained

There are known sets where one only battery is used, and working well, but supply voltage must be well filtered or ESC have good filter capacitors. 
In situation when one only battery is used, ENG input is not connected at all .