Your flowchart is useful for describing the flow of a process, but might have little bearing on how to construct tables and relationships. In fact, I wouldn't let it influence the decisions too much.
You don't need flags to denote failure if you have a date. If the date is the failure date, then its absence denotes a pass. You might get away with a flag for removal from service, but again, if a date is involved, you don't need that flag either. For each entity that you might have multiple records for, you need a separate table.
Look at this from an entity/attribute relationship. If a test is an entity, then what are its attributes? sample ID, test date, test type, failure date? Why is this about failures instead of test outcome? You might have presented info that's a bit too far into the whole process; just saying that the entity might be the testing and not about failure.
The more we hear silence, the more we begin to think about our value in this universe.
Paraphrase of Professor Brian Cox.