Is it possible to have 3 possible outputs with an IF/AND formula?

I am using the following formula to output a highlighted Red "Action Required" text when a cell is empty:

=IF(AND(K7<>"", H8>=""), "SEND SHIPPING OPTIONS TO CUSTOMER", "No Action Required")

What I WANT to be able to do is to input another variable in that equation, that would compute the following:

IF K7 is not blank, and H8 is blank = "SEND SHIPPING OPTIONS TO CUSTOMER"
IF K7 is not blank, and H8 is not blank, and K8 IS blank = "WAITING ON CUSTOMER REPLY"
IF K7 is not blank, and H8 is not blank, and K8 is not blank = "No Action Required"

Is this possible to do? To have 3 separate options for outputted text in a formula?

Yes:

=IF(AND(K7<>"", H8=""), "SEND SHIPPING OPTIONS TO CUSTOMER", IF(AND(K7<>"", H8<>"",K8=""),"WAITING ON CUSTOMER REPLY","No Action Required"))

You're welcome.

Yes!

=IF(NEWTEST,NEW_OUTCOME,IF(AND(K7<>"", H8=""), "SEND SHIPPING OPTIONS TO CUSTOMER", IF(AND(K7<>"", H8<>"",K8=""),"WAITING ON CUSTOMER REPLY","No Action Required")))

Have a play now. Set yourself some tasks and work through them - this way you will better understand the syntax.