Correct Answer: The teacher told Anu that she was very disappointed with her work.

Solution : The correct choice is the second option.

Narration Conversion:

• The first-person singular pronoun I is changed to the third-person singular pronoun she . Also, the first-person pronoun you is changed to the third-person pronoun her.
• The simple present tense verb am is changed to the past tense was to reflect the shift from direct to indirect speech.
• The reporting verb told is used.

Therefore, the correct sentence is: The teacher told Anu that she was very disappointed with her work.