That means everything is dead,as you said. You have to cure it; "cook" is a slang term for cure. You don't have to go overboard. Put it into a tub with a heater (regular temp like 78, salt water (you can use water from water changes) and a powerhead. Basically,you want the dead stuff to decay in here and not in your tank, where it would cause all kinds of spikes. When you go the lfs,that's usually how they have their rock.
The bolded part is incorrect.
There is a big difference between curing rock & cooking it.
When you cure rock, you are getting rid of the dead/decaying matter in the rock that will cause your ammonia to spike.
Cooking rock rids the rock of anything it has adsorbed..like phosphates & nitates and makes it ready for the curing process where it will become 'live' with bacteria. It is a longer process but ensures you don't have to deal with any issues the prior owner may have had with the rock.