Final answer:
Normal costing is a method of job costing that allocates an indirect cost based on the predetermined indirect-cost rate times the actual quantity of the cost-allocation base, making the statement false.
Step-by-step explanation:
False. Normal costing is a method of job costing that allocates an indirect cost based on the predetermined indirect-cost rate times the actual quantity of the cost-allocation base. The predetermined rate is determined in advance, typically based on historical data, and is used to allocate indirect costs to jobs. This method is often used when it is difficult or impractical to track actual indirect costs for each job. Therefore, the statement in the question is incorrect.