For a European call option on a stock with strike price 60 expiring in one year:

• The current price of the stock is 60.

• The continuously compounded risk-free interest rate is 0.04.

• The continuously compounded dividend rate of the stock is 0.06.

• The volatility of the stock is 0.2.

  The option is priced two ways:

1. i) Using a 1-period binomial tree based on forward prices.

2. ii) Using the Black-Scholes formula.

Determine the absolute value of the difference between the two prices.