mysqlbinlog --flashback should revert the following statement:

REPLACE INTO world.City VALUES (4078, 'Wrong value 5', '000', 'Wrong', 0)
, (NULL, 'Wrong value 6', '000', 'Wrong', 0);

into:

DELETE
UPDATE

but does a:

UPDATE
DELETE

If this is logially always correct I cannot say. But technically IMHO it is not.