Like PP posters say. I wouldn't correct DD directly, I'd probably encourage her for her effort and then maybe casually tell her something like oh look b-u-s is bus. We see this a lot with puzzles. She LOVES jigsaw puzzles but doesn't have the fine motor skills to do them herself. So I ask her where the pieces go and she tells me. Many times it's right but if she asks me to put them in the wrong spot I do and she almost always says "no" and then tells me somewhere else to put them.
As for the time on starfall. Not too much but I get bored with it quickly! Especially since she always has an overwhelming urge to bang on my computer as hard as she can when she plays...
I'm not sure about the pretend play either? I think I read somewhere that on average kids start between 15-18 months. DD started at 8/9 months so I just tend to keep my mouth shut about it (except for in very general terms). Or I might say, yeah, she really likes XYZ but not go into detail with how she plays with it, for instance.