I agree with BC for the gauge. Since we can't control the turbocharger, the gauge is there for visual enhancement more than anything else. Having it kick in at the critical altitude and after that be tied to throttle input seems a good way to imitate the function.
BC, I think the Turbo yes or no simply enables the flight model engine to maintain HP above the critical altitude if yes, or the HP falls off above critical altitude if checked no. I haven't had time to test that out in any detail but for example I did test the KM P-40E at 15,000 feet (the critical altitude set in the air file). There is a 125 MPH indicated airspeed difference between setting the turbo to true versus false. It will climb above 15,000 with the turbo set to true, but it can't get any higher with it set to false. I didn't check to see if the HP decreases linearly (is that a word?) as you climb towards the critical altitude so I can't say if it is a simple on/off switch or if the effect has a model to follow.