I worked for somebody who suffered an episode like this. Up till then she had been a much respected boss, but her behaviour gradually became more and more irrational.
Trying to point that out or modify it some some way, trying to understand why the behaviour happens is impossible. At the moment her mind is working completely differently to yours, mine or most people. You cant understand it because it’s not comprehensible.
My ex boss, now thankfully fully recovered, describes it as living on a totally different planet where other people were the ones who didn’t make sense and only she could see what needed to be done so she had to do it.
Causes like a brain tumour have been ruled out with the scan and help has been put in place but it may be a long haul.
The best thing you can do is offer your son and grandchild all the support you can by making a safe space for them in your home, perhaps more than once a week if you can manage it.
If he could rent an office space so that he isn’t there all the time that might help his stress level or even come to work at yours, as long as he feels she is safe to be left.
It is so difficult I know when somebody is ill like this and you are involved with them all day, watching them and often being drawn in to their actions. And I didn’t have an emotional family involvement with my boss. At the end of the day I could walk away from it.