Mr. Nikhil is the engagement partner for Amazing Ltd., an e-commerce company, for the financial year 2024-25. Mr. Nikhil plans to hold a discussion…

As per SA 300 "Planning an audit of financial statements", the engagement partner and other key members of the engagement team shall be involved in planning the audit including planning and participating in the discussion among engagement team members. The involvement of the engagement partner and other key members of the engagement team in planning the audit draws on their experience and insight, thereby enhancing the effectiveness and efficiency of the planning process. Therefore, Mr. Hardik's doubt is not justified, as SA 300 requires discussion of the audit plan with senior engagement team members to utilise their experience and professional judgment, thereby enhancing the effectiveness of audit planning.As per SA 300, the auditor may decide to discuss elements of planning with the entity's management to facilitate the conduct and management of the audit engagement. When discussing matters included in the overall audit strategy or audit plan, care is required in order not to compromise the effectiveness of the audit. Thus, Mr. Hardik's belief is incorrect, since SA 300 permits discussion of relevant elements of audit planning with management to facilitate coordination, provided care is taken not to compromise the effectiveness of audit procedures or the element of unpredictability.