Final answer:
An external audit is the term for an evaluation conducted by one organization, such as a CPA firm, on another.
Step-by-step explanation:
The term for an evaluation conducted by one organization, such as a CPA firm, on another is called an external audit. In an external audit, an independent and impartial party examines and verifies the financial statements and records of an organization to ensure they are accurate and in compliance with applicable laws and regulations.
External audits are typically conducted by certified public accountants (CPAs) who are trained and experienced in auditing standards and procedures. They evaluate the organization's financial statements, internal controls, and financial reporting processes to provide an objective assessment of its financial health and reliability of its financial statements.
External audits can help identify any financial misstatements, fraud, or irregularities, and provide assurance to stakeholders, such as investors, lenders, and government agencies, about the organization's financial reliability and transparency.