Explanation:

The original sentence is erroneous.

Reason: Usage of the phrasal verb 'give up' which means ‘admit defeat' is inappropriate in this sentence.

'Give out' which means ‘distribute’ would be suitable in this context.

E.g.: The teacher gave out the question papers.

Hence ‘gave out’ should be used in place of ‘gave up’ to make the sentence grammatically and contextually correct.

Among the given choices, only option B replaces the given bold part most appropriately.

The sentence after replacement becomes:

The President gave out the National Bravery Awards to the deserving children whose selfless acts of bravery have inspired many.

Option B is hence the correct answer.