There are two statements marked as Assertion (A) and Reason (R). Mark your answer as per the options given below.

Assertion (A):  Called-up Capital means share capital called up by the company on the Subscribed Shares.
Reason (R):  When a company issues shares amount of which is receivable in installments, it calls upon the " shareholders to pay the amount as called. Thus, it is the Called-up Capital. 

Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of Assertion (A).

Called up Capital: It is that part of the subscribed capital which has been called up on the shares, i.e., what the company has asked the shareholders to pay. The company may decide to call the entire amount or part of the face value of the shares, For example, if the face value (also called nominal value) of a share allotted is Rs. 10 and the company has called up only Rs. 7 per share, in that scenario, the called up capital is Rs. 7 per share. The remaining Rs. 3 may be collected from its shareholders as and when needed.