You can get the original ISO 9660 standard and its 1987 revision from Ecma International. The precise text is
10.1 Level 1
At Level 1 the following restrictions shall apply:
- Each file shall consist of only one File Section;
- a File Name shall not contain more than 8 [characters];
- a File Name Extension shall not contain more than 3 [characters];
- a Directory Identifier shall not contain more than 8 [characters].
(I've elided the distinction between "d-characters" and "d1-characters" which is irrelevant here.)
So the answer to your question is, at level 1, file names are restricted to 8+3 characters a la DOS, but directory ("folder") names are restricted to eight characters with no extension (unlike DOS, if I remember correctly).
Note that the standard has always included Level 2, which allows 31-character filenames (but still, if I'm reading it right, with only one dot); Level 1 is only for interop with pre-VFAT DOS, and shouldn't be necessary in a CDROM mastered today. (The restrictions on the size and depth of a CDROM directory hierarchy are, unfortunately, still relevant.)