My neighbor gave me a darling little bag several years ago that she had knitted with ribbon yarn. She attached an I-cord (Idiot cord) to the purse, and a bit of fluffy yarn along the top for extra blitz. It is handy to hold car keys, a lipstick and a couple of must-haves when I jump into the car to go out for errands.
My friend Pat also gave me the pattern for this purse, and since then, I have made several more in differing sizes, yarns and ribbon yarns. Then I made another smaller one for my iPod so it could be hung around my neck while keeping plugged in, hands-free and mobile. To make a fun little three-knit-stitched tube for a handle or long cord, try this simple technique described in Elizabeth Zimmerman's instructions: I-cord
These little cords are fast and fun to knit, and are handy accessories.
Here is a picture and pattern for this iSock holder from fuzzynoodleknits.com: iSock