With larger needles and 2 strands of MC held tog, cast on 39 sts. Work in Pattern st until piece measures 11 inches [28 cm], ending with a RS row. Knit 1 row to form folding ridge. Work 9 more rows in pattern. Knit 1 row to form 2nd folding ridge. Work 2 more rows in pattern.
Dec Row (RS) (K2tog) 2 times, work in pattern to last 4 sts, (k2tog) 2 times.
Continuing in pattern, repeat Dec Row every RS row until 7 sts remain. Bind off all sts.
Work as for Back until piece measures 11 inches [28 cm]. Bind off all sts.
With RS facing and beg at top edge of Front, pick up and knit 39 sts along side edge, pick up and knit 39 sts across bottom edge, pick up and knit 39 sts along other side edge 117 sts. Beg with a WS row, work 9 rows in Pattern st. Bind off all sts.
Sew sides and bottom of Back to Side Gusset.
Make one 44 inches [112 cm] length to edge Front and one long enough to edge 3 sides of Back and Flap with a loop for button closure.
With smaller needles and 1 strand of MC, cast on 4 sts. *Slide sts to other end of double-pointed needles and knit them, pulling yarn tightly across the back of the work. (Do not turn work.) Repeat from * until Cord measures desired length. Bind off.
Sew Cord to edge of Purse. Sew button below button loop.
Make 36 inches [91.5 cm] Cord as above. Fold in half and sew ends to top of side seams at Back of Purse.
Flowers Make 5, 1 in each of CC2 through CC6
Note Leave a long tail for sewing to Purse Back.
With smaller needles and 1 strand of CC, cast on 37 sts.
Row 1 (RS) K 1, (p 1, k 1) across.
Rows 2, 4, 6, and 8 Knit the M1 and k sts, and purl the p sts as they appear.
Row 3 K 1, *p 1, M1, k 1; repeat from * across 55 sts.
Row 5 K 1, *p 2, M1, k 1; repeat from * across 73 sts.
Row 7 K 1, *p 3, M1, k 1; repeat from * across 91 sts.
Row 9 K 1, *p 4, M1, k 1; repeat from * across 109 sts.
Bind off all sts as if to purl. Thread tail through cast on edge; pull tightly to ruffle, form into a tight spiral and secure.
Leaves Make 8
With smaller needles and 1 strand of CC1, cast on 3 sts.
Row 1 (RS) Knit.
Row 2 and all even-numbered rows (WS) Purl.
Rows 3, 5, and 7 K 1, M1, k to last st, M1, k 1 9 sts at end of Row 7.
Rows 9, 11, and 13 Ssk, k to last 2 sts, k2tog 3 sts at end of Row 13.
Row 15 Slip 2 sts as if to k2tog, k 1, pass 2 slipped sts over 1 st.
Place 2 Leaves with WS together and sew around. Sew Flowers to Back of Purse; then sew Leaves where desired.
With smaller needles and 1 strand of CC1, make short Cords (as above) to connect Flowers and Leaves.
Line Purse and/or embellish with sequins and beads, if desired.