The correct answer for this question is this one: "C.) "The other houses on the street...gazed at one another..." Participial phrase is a phrase that contains the verb and acts as an adjective, modifying a noun or a pronoun.
Here are the choices:
A.) "We waited to see whether she would remain or go in..."
B.) "Her image accompanied me even in places the most hostile to romance"
C.) "The other houses on the street...gazed at one another..."
D.) "I listened to the fall of the coins."