At this age, childred do not have a highly functioning imagination. They cannot easily comprehend what is outside of their vision. This concept is called object permanence. Piaget's Theory is the first stage in which children have not formed personal thoughts.
1. Sensorimotor (0-2 Years)
In Piaget's second stage, children begin to grasp symbols or representations in the world or in their own environments. However their thoughts are still limited as changing objects can still confuse the child. Egocentric thoughts are also common.
Preoperational Stage (2-7 Years)
This is when children are able to understand basic math. There mind is able to develop the simple concepts. When the child is asked how much ice cream they is, they are able to account for what is not their's or immediately noticeable. Theey should say 3.
Formal Operation (11+ Years)
The child in the first image is well aware that there is a ball. A child nearing the end of this stage is able to recognize that the ball is there even when it is hidden from sight. Otherwise the child will not even acknowledge that the ball still exists.
A child at this stage is not exposed to every symbol in the world. They may not be able to identify specific brand logos, but can for common objects. When the child sees the hat and the suit on a person they know that this person is a construction worker.
At this point, the mind becomes far more developed. The individual is able to use their knowledge and able to apply to the world around them including people. Older children and adults watching plays, movies, or shows recognize that the emotions of the actors are not real. They are able to comprehend that the story is fake as well.