## Danger Stock Level
Danger Level is the final stock level beyond which, if the company goes, there will be a stock-out. At this level, normal procurement won't be fast enough — only emergency procurement can save the day.
### Formula
$$\text{Danger Level} = \text{Emergency Lead Time} \times \text{Average Consumption}$$
### Purpose
- Acts as a final warning trigger.
- Below this, the firm should immediately raise an emergency order — possibly at a premium price.