[cpa2018]

Hi Im having trouble understanding this problem so if anyone could help me understand it, i would be really grateful 🙂 it’s taken from the AICPA released questions:
Jan 1 year 1: 30 shares, $5/share purchased
Jun 30 year 2: 30 shares, $3/share sold
Jul 15 year 2: 20 shares, $2/share purchased
Jul 17 year 2: 20 shares, $2.5/share sold
Aug 22 year 2: 50 shares, $3.75/share purchased

what is the recognized loss on july 17? Answer: 30
So i understand that there is a wash sale in June 30; disallowed loss was 40.
Basis of shares for those sold July 17 = Cost + Disallowed = 80
Realized loss on July 17 = (20 x 2.5) – 80 = 30
Recognized loss on July 17 = 30
Why is the entire loss recognized? Does the July 15 purchase no longer count as a repurchase? Thanks in advance!