Calculated Inventory Turnover Ratio (CITR) is a measure of the efficiency with which a company uses its inventory and is calculated by dividing the company’s cost of goods sold (COGS) by its average inventory over the accounting period. CITR helps to determine how quickly a company can turn its stock into sales, with a higher ratio indicating that it is more efficient in turning inventory into cash. It is an important metric to consider when assessing a business, as high turnover can be indicative of strong sales performance or successful inventory management practices.