To convert the cylindrical equation z = r^2 cos(2θ) into rectangular form, the trigonometric identity cos(2θ) = cos^2(θ) - sin^2(θ) is applied, leading to the equation z = x^2 - y^2 after substituting x and y for r cos(θ) and r sin(θ). The discussion also highlights the conversion of the equation z^2 (x^2 - y^2) = 4xy into polar coordinates, simplifying to z^2 = (4sin(θ)cos(θ))/(cos^2(θ) - sin^2(θ)). The participants emphasize the importance of recalling trigonometric identities to facilitate these conversions. Ultimately, the thread concludes with a successful transformation of the equations using the discussed methods.