Vectors have both magnitude and direction, while scalars have only magnitude. Vectors can be added or subtracted by drawing them head to tail. When vectors are perpendicular, the Pythagorean theorem is used to find the resultant. Displacement problems involving vectors require calculating horizontal and vertical components using trigonometric functions like sine and cosine. Real-world examples demonstrate how to calculate the resultant displacement, velocity or other vector quantities when given multiple vectors in different directions.