An auditor is assessing the risk of material misstatement for a nonissuer's complex financial instruments. The entity uses a third-party pricing service to value its portfolio of mortgage-backed securities. Which of the following procedures should the auditor perform to assess the reliability of the pricing service's data?

Obtain a written representation from management stating that the pricing service is reputable.

Confirm the year-end balances directly with the custodian holding the securities.

Evaluate the pricing service's controls over its valuation process or compare the prices to other independent pricing sources.

Recalculate the interest income received during the year to verify the effective yield.