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Hi Gayathri, please double-check that the validation rule Close_Reason_Required_When_Lost is active and that the formula matches the challenge requirements exactly.
Also, make sure the test Opportunity has Stage = Closed Lost and that the Close Reason field contains the invalid/blank value required by the challenge. Then save the record again to trigger the validation rule.
If the rule is active and the setup matches the instructions but Trailhead still doesn’t recognize it, please share a screenshot of the validation rule and test record. If the issue persists, I’d recommend creating a case with Salesforce Support for further investigation.