Some embodiments of the invention provide a method of performing a Discrete Cosine Transform (“DCT”) encoding or decoding coefficients of a data array by (1) multiplying the coefficients by a scalar value before the encoding or decoding, and then (2) dividing the encoded or decoded coefficients by the scalar value. When used in conjunction with fixed-point arithmetic, this method increases the precision of the encoded and decoded results. In addition, some embodiments provide a method of performing a two-dimensional (2D) Inverse Discrete Cosine Transform (“iDCT”). This method splits a pre-multiplication operation of the iDCT into two or more separate stages. When used in conjunction with fixed-point arithmetic, this splitting increases the precision of the decoded results of the iDCT.