In a collision between two masses, where one mass is at rest, the final velocities can be perpendicular under specific conditions. The discussion emphasizes the use of momentum conservation in both the x and y directions, which allows for the formulation of equations to solve the problem. Participants suggest creating two systems of equations that incorporate both energy conservation and momentum conservation to analyze the collision. The approach highlights the importance of treating momentum as a vector quantity in two dimensions. Understanding these principles is crucial for solving collision problems effectively.