Did he just scrape and look under scope? Or, did he actually grow it out in culture for 10-14 days? Bc if it's yeast or ringworm, it's needs to grow in culture.
I agree, check thyroid.
But, are you saying she is losing the hair only bc she is licking/biting her legs or is it also just falling out naturally?
If there are any symptoms of Cushings, you'd want to look into that as it causes hair loss....but you're not really describing other issues.
It's really hard sometimes to get a diagnosis, I've been there.