OK, I am running SMF 1.07, I installed the ad management version you mentioned above (thanks to some help from bigguy!)
Once you up load it (called download for some wierd reason) you need to click on the bottom of the install page on the 'proceed' link.
Success.
Then from the left side menu (assuming you are logged in as admin panel) from
'forum configuration menu' choose 'edit features and options' link.
then scroll to the bottom of the options and you will see ad management.
I am going to try to insert my google adsense code in and see what happens as I just got this going. the options for v1.07 don't seem as complete and good as the newest version, but since I am not hosting this myself, I don't believe I have any choice in what version I have. I am using Godaddy hosting, so its whatever they offer me, I believe.