import math


def continuous_compounding_fv(P, r, t):
    """Continuous compounding is a good approximation of the case of periodic compounding
    when the frequency m is large. It is simpler and lends itself more readily to
    transformations than the formula for periodic compounding.

    Parameters
    ----------
    P: float
        Principal, initial deposit.
    r: float
        Interest rate
    t: float
        Time, expressed in years.
    """

    return math.exp(t*r)*P