I am so smrt (I mean smart)

Yesterday, Karen told me that the day care where we are sending Sarah during the day wants to move her up to the next classroom. Claire did an excellent job with making her participate in the classroom activities when she was at K-Prep, that she is very advanced and independent and just wants to read books and play constructively. The other kids won't let her do these activities, so they want to move her and expose her to more advanced kids to continue to push her in her learning and independence. They just want her to be able to walk a bit more steadily before they move her full time. They are going to try it out a couple of days a week.

Along those same lines, Karen and I have been trying to figure out what constitutes vocabulary. There are many many words that Sarah knows and will respond properly to, but that she can not say (or doesn't say). Would only the words she says and uses be considered vocab, or those that she knows?

As far as a list of what she can say/do, here is a list (for my reference):
BaBa (bottle)
Cup
Cat
BubBub (dog)
Dog
Meow
Ruff (dog sound)
Roar
Blue
Yellow
MaMa
DaDa
PaPa
Mom
Dad
Todd
Megan
Duck
Quack
(And many more I'm sure, leave them in comments if you know of any I missed)

She also knows the sounds that a dog, cat, gorilla, duck, fish, lion, elephant, cow, and chicken make. She is really cute when you ask her to show you what a chicken does. She flaps both of her arms and makes a noise close to "bock".