I just started to read this book on category theory.
How is this example below a category?
I have difficulty imagining what this construct really is.
Could someone please illuminate me ?
I have a physics background, I am not a mathematician.
Perhaps with some very simple example or analogy that is understandable for a physicist's mind.
Thanks for reading.
EDIT:
Does this example make sense at all ?
EDIT 2:
What confuses me is that for a given object $A$, $i=|A|$ is fixed, so is $j=|B|$, so the location of a natural number in the matrix $F$ is determined by the size of $A$ and $B$. So the arrow from $A$ to $B$ is a number in a matrix and not the matrix itself !
EDIT 3: Many thanks for the answers ! I think I get it now.
Example:

As a reminder a category is defined as:

EDIT 4:
I just bought the latest eBook version where this mistake has been corrected:

I think that this is what is going on:
The objects are finite sets.
For the morphisms: given two sets $A$ and $B$ you want a set $Mor(A,B)$ of elements/arrows $f: A \to B$. So here $A$ is the domain and $B$ is the codomain of $f$. This needs to satisfy the composition law.
Here you have for two finite sets $A$ and $B$ this set of morphisms consists of all $\lvert A \rvert\times\lvert B\rvert$ matrices (with entries in $\mathbb{N}$). That is, a morphism/arrow is exactly a matrix. You compose two morphisms/arrows by multiplying the matrices. So The composition of morphisms/arrows is given by matrix multiplication so that if $f \in Mor (A,B)$ and $g\in Mor(B,C)$, then $g\circ f\in Mor(A, C)$. Is this well defined? Yes, because $Mor(A,C)$ consists exactly of $\lvert A \rvert\times\lvert C\rvert$ matrices and you get that from multiplying $\lvert A \rvert\times\lvert B\rvert$ matrices with $\lvert B \rvert\times\lvert C\rvert$ matrices.