company_valuation__npv

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

No annotations are provided, so the description carries full burden. It does not disclose edge cases (e.g., negative rates, empty arrays), output type, or any safety/reversibility concerns.

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

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

Single sentence is concise but sacrifices necessary detail. It is appropriately short yet omits critical information.

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

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

Given no output schema and sibling similarity, the description should clarify return value and usage context. It falls short, leaving an AI agent underinformed.

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

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

Schema coverage is 0% and the description adds no parameter details. 'rate' and 'cashflows' are not explained (e.g., format, interpretation). The description fails to compensate for missing schema descriptions.

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

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

The description states 'NPV of cashflows starting at t=1', clearly indicating the tool computes net present value for a specific timing. It is distinguishable from sibling 'investment_analysis__npv' due to the company-valuation context, but the differentiation is implicit.

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

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

No guidance on when to use this tool versus alternatives like 'investment_analysis__npv' or other valuation tools. No context on prerequisites or appropriate scenarios.

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