 Matrix-chain cost model

For matrix dimensions $r\times s$ and $s\times t$, ordinary matrix multiplication computes $rt$ matrix entries, each using $s$ scalar multiplications. Thus its cost is $rst$ scalar multiplications, with $rt(s-1)$ additions if each sum starts from its first term. Here we minimize only the scalar multiplication count, using this dense matrix multiplication rule throughout. The counts describe arithmetic operations, rather than measured elapsed time; matrix multiplication methods that exploit structure or use faster formulas require a different cost rule.

Take matrices $A$, $B$, $C$ with matrix dimensions $12\times 5$, $5\times 40$, $40\times 3$. Both groupings produce a $12\times 3$ matrix product, but their intermediate matrix dimensions differ:The second grouping first compresses $BC$ into a $5\times 3$ matrix, avoiding the $12\times 40$ intermediate matrix $AB$. The saving is $3060$ scalar multiplications, although both groupings use exactly two matrix multiplications. This is why counting only matrix multiplication operations hides the interesting choice.

Associativity permits these regroupings in exact arithmetic; commutativity is neither assumed nor generally true for matrix multiplication. Swapping $A$ and $B$ here would even make their matrix product undefined. In floating-point arithmetic, round-off error can make the two groupings yield different computed matrix entries; the cost optimum alone does not guarantee the smallest numerical error.