I think people who are a bit self-centred when they're younger, tend to get much more self-centred when they're very old. Also, some people, if they're on their own a lot, have more time to think about themselves and to find things to be dissatisfied about.
Although I love my mum, I notice similar traits in her. She doesn't show as much interest in her grandchildren or great grandchildren as she did when she was younger. Also, she tends to find fault generally and with things that I do for her. It can be annoying and upsetting but I try (not always successfully - I get ratty at times) to make allowances for the fact that she's 92 and spends a lot of time on her own.
If your dad and your daughter have never been particularly close, and it was your mum who was the mainstay of the family, your dad might feel at a loss to find common ground. Perhaps he finds it difficult to initiate a conversation with your daughter because he doesn't know what to talk about - and probably your daughter feels equally uncomfortable.
I'm not sure if you're saying your daughter is upset by his attitude, or is she just bored and uncomfortable when visiting him? If she is upset, perhaps you could explain that some people when they are very elderly become a bit self-centred and seem to lose the energy to care about more than one or two people.
Maybe Mishap is right and it would be better for you to see your dad on your own and let your daughter do her own thing, or to keep visits short. But, given that you sound like a loving and conscientious daughter, I think it would upset you if you drastically cut down your visits to him.