Error when running rasa test even when intent is correct

So this way of entity annotation [Madrid]{ "entity" : "location"} will cause an error then? Because I have the same issue, when annotating this way. Should it always be [Madrid](location) ?

What if you are working with roles/groups when it comes to entities, for example: {"entity":"number","role":"people"} or {"entity":"number","role":"nights"} ?

Many thanks!