She should also understand simple commands like “give me that”, "fetch that”, “wipe your nose” e.t.c.

And by 3 years 75% of her sentences should be understood by a stranger.
So if by 3 years her pronunciation is not clear, you should see a speech therapist.

1-year-old - single words
2-year-old - 2 word phrases
3-year-old - full sentences understood 75% by a stranger
4-year-old - full sentences 100% understood by a stranger (like adults)

Kindly see a speech therapist and/or developmental paediatrician if your child is not yet meeting these developmental milestones.

Your child is expected to make 2 word phrases

Your child is expected to make 2 word phrases