calculate_profit_margin

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

No annotations provided, so description carries full burden. It only mentions calculation and a minimal output structure. Does not clarify that it's read-only, has no side effects, or any other behavioral aspects. For a calculation tool, this is a moderate gap.

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?

Two short sentences with essential information; front-loaded and no fluff. However, could be slightly improved by including output details inline rather than a follow-on.

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?

Input schema is fully covered. Output is mentioned in description but not formally defined. Given the simplicity of the tool (2 numeric inputs, few outputs), the description is reasonably complete but lacks explicit output schema details for all three calculated values.

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 100% with descriptions already in the input schema. The description restates these without adding new meaning. Baseline 3 is appropriate since the schema does the heavy lifting.

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 clearly states it calculates gross margin, net margin, and markup percentage, and identifies inputs (revenue and cost). It distinguishes from other tools by hinting at a 'finance-universal' bundle, but there are many similar margin tools among siblings.

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 vs alternatives like calculate_markup_margin or calculate_break_even. Only a vague reference to list_bundles for related calculators, which is insufficient for an agent to choose correctly.

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