To make an Observer in Minecraft, open the crafting table made up of the 3x3 grid. Fill up the entirety of the first and third row with 6 cobblestones leaving.
To create a redstone wire, place redstone dust on blocks next to each other. Wire doesn't do much on its own, but when you combine it with signal producers .
To craft something in Minecraft move the required items from your inventory into the crafting grid and arrange them in the pattern representing the item you.
All you need to do is place your seven iron ingots within a crafting table and the option to make your coveted Cauldron should be readily available to you.