Its 10o'clock watch
1. in 2.at 3.on 4.by

what is the context here? we need to know what story you're talking about : )

it is an infinitive phrase with a subject.

one thousand and one nights, also known as arabian nights is a collection of stories whose basic structure is that of embedded narrative. this technique refers to a main story which works as the common frame - or framing narrative - for the other stories, and then this series of stories which are connected to the main one. this technique can also be referred to as a story within a story. the stories stem from the original tale, some begin and end on their own, some are connected to the previous or following one, by means of questions that are answered in the subsequent tale, or characters which reappear.