Beginning Inventory Purchases Ending Inventory, or B.I.P.E.I., is a term used to define the inventory purchases made by a business during any period of time. It’s typically used when considering financial statements for income statements and balance sheets. Put simply, it’s the total amount of inventory that a business purchased in the beginning of their fiscal year, which then had to be sold off before its end. By tracking these figures businesses can accurately determine their total cost of goods sold (COGS) for the period and get a better understanding of their overall financial health.