I returned the MyBook Live to the vendor I had purchased it from and it was determined that the HD was working fine.
In the mean time I had also returned the WD MyNet N900 router and replaced it with a NetGear WNDR 3800 router. I plugged the MyBook Live into the NetGear router and it was recognized immediately on my network along with my older Iomega network drive. It seems the problem must have been in the router.
