Let $\cal K$ be a small category. Let $\cal A$ be a subcategory of $\mathbf {CAT}$ and $U:{\cal A}\hookrightarrow{\mathbf {CAT}}$ the underlying functor. Now how is $U^{\cal K}$ naturally defined as a $2$-functor
$$U^{\cal K}:\cal A\hookrightarrow{\mathbf {CAT\ } } ?$$ I understand that on an object $A$ in $\cal A$, $U^{\cal K}(A)$ is the class of all functors $F:{\cal K}\to A$. Is this correct?
What about $U^\cal K$ on functors and natural transformations? Note that I'm a beginner to the $2$-category stuff.
Let me first start with a precision, to be sure we agree : $\textbf{CAT}$ is a two category, whose objects are all small categories, morphisms are functors, and $2$-cells are natural transformations, and $\mathcal{A}$ is a sub-$2$-category of $\textbf{CAT}$.
Now you want to define a functor $U^{\mathcal{K}} : \mathcal{A} \to \textbf{CAT}$, and you already know that for every object $A$ of $\mathcal{A}$ (by definition, $A$ is a small category), you have $U^{\mathcal{K}}(A):=[\mathcal{K},A]$ (the category of functors from $\mathcal{K}$ to $A$).
The only thing that makes sense to me is to define it as :