In many tales featuring a knight and an old woman, the ending can vary widely based on the moral or lesson intended. However, a common resolution is that the knight learns a valuable lesson from the old woman, often about humility, respect, or the true nature of beauty.
If we consider the options you've provided, a fitting ending might be:
They part ways, never to meet again.
This ending often emphasizes the idea that encounters can change a person's perspective, even if the characters do not remain in each other's lives. It highlights the transient nature of relationships and experiences.