Welcome to the community, @Maria_Rekhels! :grinning_face_with_big_eyes: If I understand your setup correctly, this should work (spread across several lines for clarity):
AND(
{Field A} = "Approved",
{Field B} = "Approved",
OR(
{Field C} = "Approved",
NOT({Field C})
)
)
That will output a 1 or 0: 1 if all conditions are met as described, 0 otherwise. If you literally want the text output to be “Pass” or “Fail”, use this:
IF(
AND(
{Field A} = "Approved",
{Field B} = "Approved",
OR(
{Field C} = "Approved",
NOT({Field C})
)
),
"Pass",
"Fail"
)