https://en.wikipedia.org/wiki/Merlin’s_Shop_of_Mystical_Wonders

Merlin’s Shop of Mystical Wonders is a 1996 American fantasy horror film written and directed by Kenneth J. Berton.

The film stars Ernest Borgnine as a grandfather telling his grandson a story about the wizard Merlin opening up a store in the modern-day United States. He tells him two separate stories about Merlin and the store.