If this AND that OR that

Generic formula
=IF(AND(A1="x",OR(B1="y",B1="z")),"x","")
Explanation

To test for various combinations of this AND that, or this OR that, you can use the
IF function with the AND and OR functions. In the example shown, the formula in
D6 is:
=IF(AND(B6="red",OR(C6="small",C6="medium")),"x","")

When an item is "red", and either "small" or "medium", the formula returns "x".
All other combinations return an empty string ("").

How this formula works

In the example shown, we simply want to "mark" or "flag" rows where the color is
"red" AND size is either "small" or "medium". To return TRUE when items are red
and small, we can use a logical statement constructed with the AND function:
AND(B6="red",C6="small")
To extend the statement to return TRUE when items are red and either small or
medium, we can nest the OR function inside the AND function like this:
AND(B6="red",OR(C6="small",C6="medium"))

This snippet will return TRUE only if the value in B6 is "red" AND the value in
C6 is either "small" or "medium". It is placed inside the IF function as the logical
test. When the logical test returns TRUE, the IF function returns "x". When the
logical test returns FALSE, the IF function returns an empty string ("").

Change the values returned by IF to suit your needs.