The One With The Truth About London - S7-E16
Revealing mistake: When Monica gives Phoebe the headache medication (Hexadrin) she, not only doesn't take the lid off - and therefore fails in pretending to put it back on - but also doesn't actually give Phoebe anything. Extended episode. (00:07:30)
Answer: The statements that she's contradicting (that it is common, it happens to every guy, and it's not a big deal), are the things that a woman commonly says to a man who is suffering from erectile difficulty, typically to assuage his bruised ego. However, most men do not believe that these statements are true, as evidenced by Chandler's outburst. He's so caught up in the proof that women are lying about it that he gives himself away.
Rooster of Doom