It is definitely very hard to see our children in a difficulty but there are loads of positives in your situation. You are right there for your DD trying to find a good path for her and you are receiving support and have good communication with the school. Between you, you will find a solution that works. You have options of homeschool or maybe preschool? for the rest of the year if you all decide K isn't the best option right at this moment.

Give your daughter a cuddle and tell her you have heard what she is saying and you and the teacher are working it out. It's hard to learn when you are tired and because she is a bright girl she can learn at home or in preschool or at school and you just need to see where she is happiest learning. You have probably done that already I am sure.