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Newbie question: what are these two black and red wires supposed to be connected to?
They come out of the receiver with the slot marked "batt."
I presume that is short for battery so do I need to run another small battery
just to these two wires? Or do they somehow connect to the main battery?

I've tried looking at pictures but can't find another setup that looks the same.
(Pics to follow)

That looks to be a simple 2 pin plug that goes to a receiver pack. I would assume someone plugged it in then cut off the wires, you should be able to unplug the lighter colored connector?

As that is a BEC receiver you should not need it if your esc provides adequate power

Yes, with the ESC providing power to the recievers, you can unplug that pigtail. It was cut or ripped off.

Right! Thanks for clearing that up. Trying to trouble shoot why the
car wasn't running, but ended up being mismatched crystals running
on different bands!

Ahhh crystals. Nope don't miss em lol