Too late to change schools. I find it strange to require a precalc class in college. Placement tests usually are for needing remedial classes to meet college math ability for graduation. Especially in math there is no reason to repeat what one already knows. UW (Madison) usually advises students who took AP calculus to start with their first semester version of calculus because it covers more than the AP version and most students will be unprepared for second semester UW calc (there is also an Honors math/calc sequence for those excellent math students).
No reason to repeat the known material. One can always learn something- but is the time required worth the small bit of knowledge gained? I doubt it. More likely a setup for boredom and developing poor study skills. She (it is her fight, not yours) should fight for what she believes is in her best interest.