She was reading a book on a bench by the bus stop.
She was sitting on a bench next to the bus stop reading a book.
この場合、次のような言い方ができますよ。
ーShe was reading a book on a bench by the bus stop.
「彼女はバス停の横のベンチで本を読んでいました」
ーShe was sitting on a bench next to the bus stop reading a book.
「彼女はバス停の横のベンチに座って本を読んでいました」
ご参考まで!