Direct speech : - Direct speech is used to report or rather repeat the words spoken by the speaker or writer in the way it is told by the speaker .

Indirect speech : - Indirect speech is the way in which you convey what someone said to another person, not necessarily using the exact words of the speaker.

Changes in words and expression of Time and Place:

You sometimes have to change other words or phrases, such as those referring to time or place:

• Joe said, "I posted the letter two days ago." (Direct speech)
• Joe said he had posted the letter two days earlier. (Indirect Speech)

In the question : -

She said, "I saw Mary yesterday."

The Indirect speech of the above sentence is :

She said that she had seen Mary the day before.

While converting into indirect speech , said remains same , then inverted commas are converted into that , then pronoun I is converted into she and change simple past into past perfect means saw converts into had seen , then the objective part Mary and then yesterday converts into the day before .

Thus , the Correct Option is C , which is She said that she had seen Mary the day before.

Direct speech : - Direct speech is used to report or rather repeat the words spoken by the speaker or writer in the way it is told by the speaker .

Indirect speech : - Indirect speech is the way in which you convey what someone said to another person, not necessarily using the exact words of the speaker.

Changes in words and expression of Time and Place:

You sometimes have to change other words or phrases, such as those referring to time or place:

• Joe said, "I posted the letter two days ago." (Direct speech)
• Joe said he had posted the letter two days earlier. (Indirect Speech)

In the question : -

1. John said, "I live in this house."

The Indirect speech of the above sentence is :

John said that he lived in that house.

While converting into indirect speech , said remains same , then inverted commas are converted into that , then pronoun I is converted into he and change simple present into simple past means live  converts into lived  , then this converts into that . then the objective part house .

2. Stacy said, "I work here."

The Indirect speech of the above sentence is :

Stacy said she worked there .

While converting into indirect speech , said remains same , then inverted commas are converted into that , then pronoun I is converted into she and change simple present into simple past means work  converts into worked , then here converts into there .

Thus , the Correct Option is D , which is 1. John said that he lived in that house. 2. Stacy said she worked there.

Direct speech : - Direct speech is used to report or rather repeat the words spoken by the speaker or writer in the way it is told by the speaker .

Indirect speech : - Indirect speech is the way in which you convey what someone said to another person, not necessarily using the exact words of the speaker.

Changes in words and expression of Time and Place:

You sometimes have to change other words or phrases, such as those referring to time or place:

• Joe said, "I posted the letter two days ago." (Direct speech)
• Joe said he had posted the letter two days earlier. (Indirect Speech)

In the question : -

1.Jane told me "I was in Hawaii last month" .

The Indirect speech of the above sentence is :

Jane told me she had been in Hawaii the previous month.

While converting into indirect speech , told remains same , then inverted commas are converted into that , then pronoun I is converted into she and change simple past into past perfect means was converts into had been , then the objective part in hawaii and then last month converts into the previous month .

2. She said , "We had lunch a week ago" .

The Indirect speech of the above sentence is :

She said they had lunch a week before.

While converting into indirect speech , said remains same , then inverted commas are converted into that , then pronoun we is converted into they and then past perfect remains same , then the objective part lunch and then a week ago converts into a week before .

Thus , the Correct Option is B , which is  1. Jane told me she had been in Hawaii the previous month. 2. She said they had lunch a week before.