OK, got it. Don't you have the Source Manager II manual? It covers the AC input, output and control wiring, though it is a bit vague. Download it from Xantrex/Heart at http://www.xantrex.com/documents/Discontinued-Products/Source%20Manager%20II%20Owner's%20Manual.pdf
The AC Load 1 & 2 terminals are used for load management. AC Load #1 is for the front a/c and #2 is for the floor heater (if you have that feature). 12 gauge cables are used on those terminals.
Per the SM II manual (page 22), the 8 gauge input wires from shore and genset attach to the left side at the rear. The 8 gauge output to the load center is just forward of the genset input terminals.