That is wonderful! Young minds learn so fast. It takes valuable time out of your busy schedule I know, but it is so worth it to take that time and teach our kids and grandkids now.
I am doing the same. My 10 yr. old grandson is working on his 1st wallhanging and my 3 1/2 yr old has been begging for me to teach her. Although, I feel its too soon for her to have her hands around a needle, I let her watch me alot. She loves to look at all of my quilt books. She acts like she is teaching a sewing class. It's so funny. I also am teaching her to fix her bed now and just yesterday, I taught her how to separate clothes, load the washer (of course I had to pick her up for her to do it) and put them in the dryer. Every load. She felt so special.
I homeschool my oldest grandson, and I keep my granddaughter 2 days a week, so I am now teaching her little spelling words. She is doing great, not only can she read them, she's also spelling them.
So good for you, she will always remember these special times with Grandma and be thankful as she gets older for what you taught her. Imagine the wonderful stories she will be telling her friends and family about these times even after you you've gone on. :)