Standard ACLs are configured on routers to permit or deny traffic based on source IP addresses. The ACL number must be between 1-99 or 1300-1999. The ACL is applied to an interface using the ip access-group command with the in or out keyword to specify the traffic direction. For example, an ACL can permit traffic from a management LAN subnet to a server, and the ACL would be applied to the incoming interface using the "in" keyword.