I've seen a lot of example c++ code that wraps function calls in a FAILED() function/method/macro. Could someone explain to me how this works? And if possible does anyone know a c# equivalent?
It generally checks COM function errors. But checking any function that returns a HRESULT is what it's meant for, specifically. FAILED returns a true value if the HRESULT value is negative, which means that the function failed ("error" or "warning" severity). Both S_OK and S_FALSE are >= 0 and so they are not used to convey an error. With "negative" I mean that the high bit is set for HRESULT error codes, i.e., their hexadecimal representation, which can be found in, e.g., winerror.h, begins with an 8, as in 0x8000FFFF.
And if possible does anyone know a c# equivalent?
You won't actually need that in C#, unless you're using COM objects. Most .NET functions either already return a (more or less) meaningful value (i.e. null, false) or throw an exception when they fail.
If you're directly accessing a COM object, you can define a simple Failed function that does what the macro in unwind's post does. Define that locally (protected/private), since the messy COM details shouldn't be visible in your app anyway.
In case you didn't know, there's also a SUCCEEDED macro in COM. No need to test for failure :)