That's the only concrete rule the MPAA really has. Say the F-word once, it's PG-13. Say the F-word more than once and/or in a sexual context, and it gets rated R. All the other rules the MPAA has are very arbitrary and abstract, so a movie that has more than two F-words gets rated R, whereas actions that are much worse than saying the F-word, such as out-of-wedlock sex, drinking to the point of drunkenness or underage drinking, and violent acts destructive enough to level entire cities or even entire planets (as long as bloodshed is min to nil) can get rated PG-13 or PG.