Best Inexpensive DAC

Your approach makes sense, but beware possible shortcomings of the digital out from an old cdp. I did the same thing and used, initially, the digital out from a 1992 top-of-the line Harman Kardon, the HK 7600 11, which was Class D S'hile and cost $600 new back then. I thought it was ok until I tried the digital out from my new inexpensive sacd/dvd/cdp (Sony DVP NS-500V. UNBELIEVABLE IMPROVEMENT. You might try another transport for comparison, eg. a cdp from a friend, just to double check that the Denon is doing its job.

CAL Alpha, 24/96 if you can find one.

Nuff said.

The fact that Cal Audio is out of business, you can get a great deal on an Alpha DAC. There are two versions, the newer is the 24/96 version. Both are excellent with some saying the original version is better. I owned one. This DAC will get tubes into you system and just makes digital sound right. I've seen them here on Audiogon for around $500-$600 bucks. Good Luck with your search.

Great Northern Sound repairs and mods the CAL Alpha.

Right-on Stereomaniac, Cal Alpha, Steve's da man.