She points and says "that." I think it's so funny. We use the actual names of most objects, but obviously we've let quite a few "thats" slip out when asking "do you want that?" or "don't play with that." Our cute little sponge.
Aw:) DS does that too kind of, he will go "an that!" pointing at it. He doesn't repeat back yet but he gets a giant grin on his face like he is soaking it up.
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DH and I were cracking up the other day when we finally figured out why DD kept calling the remote "that" because we always try to name things as well when talking to her. Well, DD loves to steal the remote and chew on it so we are always saying to her "give me that". So, yeah, she thinks a remote is called that.
LOL, my son just screeches and when we get to what he wants he smiles or laughs. Then I tell him what the word is and see if he will repeat it (which he doesn't usually). I am looking forward to him using more words.
Re: When DD doesn't know what something is called . . .
Yup, DD says "this"