calculate_pv10

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

The description provides the formula and states inputs, which is adequate for a pure calculation function. However, it does not mention any behavioral traits such as error handling, input constraints (e.g., array length), or that it is read-only. With no annotations, slightly more detail would be beneficial.

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?

The description is short and front-loaded with the main purpose. It includes the formula and a clear parameter description. Every sentence is useful, though the structure could be slightly more organized (e.g., separating formula from usage).

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 the tool has one parameter and an output schema (assumed to return a number), the description covers the purpose, formula, and input meaning. It is nearly complete, but lacks explanation of the time indexing (t=0,1,...) and any constraints on the array length.

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?

Even though schema description coverage is 0%, the tool description adds meaning to the sole parameter: 'Monthly net revenue ($) after royalties and opex.' This clarifies units and what costs are deducted, which goes beyond the schema's type and title.

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?

Clearly states it calculates PV10, an SEC standard present value at 10% annual discount, and provides the formula. This distinguishes it from sibling tools like calculate_npv or calculate_irr by specifying the exact standard and discount rate.

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 explicit guidance on when to use this tool versus alternatives. While 'SEC standard' implies a specific use case, there is no mention of when not to use it or comparison to other economics tools like calculate_npv or calculate_payout_period.

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