Dear @Great Man
Your wife and daughter will each make an application for a visa. It is not the case that your daughter’s application then automatically covers her mother coming also. As part of your wife’s application, she has to show A1 level of German.
There are exceptions to having to provide German at A1 level. However, the fact that a spouse is coming with an underage child is not one of them.
Where did you find this information about the requirement not applying? I’d be happy to have a closer **** at it if you have a source I can check out.