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nestegg-calculators

Intrinsic & Time Value

intrinsic-time-value
Read-onlyIdempotent

Split an option premium into intrinsic value (in-the-money amount) and time value.

Input Schema

TableJSON Schema
NameRequiredDescriptionDefault
spotYesUnderlying price.
typeNoOption type (default call).
strikeYesStrike price.
premiumYesOption premium.

Output Schema

TableJSON Schema
NameRequiredDescriptionDefault
intrinsicNoIntrinsic value.
timeValueNoTime value.

Schema Changelog

Changes observed during successful MCP inspections.

  1. Added

TDQS

A4.3/5.0
Behavior4/5

Does the description disclose side effects, auth requirements, rate limits, or destructive behavior?

The description clarifies that intrinsic value is the in-the-money amount, adding semantic context beyond the read-only and idempotent annotations. It does not contradict annotations and provides enough behavioral understanding for a calculation tool.

Agents need to know what a tool does to the world before calling it. Descriptions should go beyond structured annotations to explain consequences.

Conciseness5/5

Is the description appropriately sized, front-loaded, and free of redundancy?

The description is a single concise sentence that is front-loaded with the primary action and output. Every word earns its place, with no redundancy or filler.

Shorter descriptions cost fewer tokens and are easier for agents to parse. Every sentence should earn its place.

Completeness5/5

Given the tool's complexity, does the description cover enough for an agent to succeed on first attempt?

Given the tool's simplicity, an output schema exists to explain return values, and the description sufficiently explains the calculation's purpose. No additional context is needed for an agent to invoke it correctly.

Complex tools with many parameters or behaviors need more documentation. Simple tools need less. This dimension scales expectations accordingly.

Parameters3/5

Does the description clarify parameter syntax, constraints, interactions, or defaults beyond what the schema provides?

Schema description coverage is 100%, with each parameter already described (e.g., spot as 'Underlying price'). The description adds no parameter-specific details beyond what the schema provides, so a baseline score of 3 is appropriate.

Input schemas describe structure but not intent. Descriptions should explain non-obvious parameter relationships and valid value ranges.

Purpose5/5

Does the description clearly state what the tool does and how it differs from similar tools?

The description uses a specific verb ('Split') and identifies the resource (option premium) and the exact outputs (intrinsic value and time value). It clearly distinguishes from sibling tools like option-greeks and option-breakeven by focusing on premium decomposition.

Agents choose between tools based on descriptions. A clear purpose with a specific verb and resource helps agents select the right tool.

Usage Guidelines4/5

Does the description explain when to use this tool, when not to, or what alternatives exist?

The description clearly states the tool's purpose ('Split an option premium...'), making it obvious when to use it. However, it does not explicitly mention when not to use it or name alternative tools, so it stops short of a 5.

Agents often have multiple tools that could apply. Explicit usage guidance like "use X instead of Y when Z" prevents misuse.

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