The small boy in the red hat has a cracker.
A toddler with a red hat holding an animal cracker.
Not all small boys are toddlers and he may not be holding the cracker. He is not necessarily holding an animal cracker, it could be any kind of cracker.
exists e1 s1 s2 x1 x2 x3.(n_hat(x2) & a_red(s2) & Theme(s2,x2) & n_boy(x1) & a_small(s1) & Theme(s1,x1) & Theme(e1,x3) & Actor(e1,x1) & v_have(e1) & n_cracker(x3) & in(x1,x2))
exists e1 s1 x1 x2 x3 x4 x5.(a_topic(x1) & with(x1,x2) & Theme(e1,x4) & Actor(e1,x3) & v_hold(e1) & n_cracker(x4) & of(x4,x5) & n_animal(x5) & (x2 = x3) & n_hat(x2) & a_red(s1) & Theme(s1,x2) & n_toddler(x1))