Access control lists (ACLs) can be used for filtering and identifying network traffic. ACLs are composed of rules that either permit or deny traffic based on conditions like source/destination addresses, protocols, and port numbers. Numbered ACLs range from 1-99 for standard IP and 100-199 for extended IP. Named ACLs have no number limit. Standard ACLs filter based only on source IP while extended ACLs examine both source and destination addresses, protocol, and port numbers.