Good DACs for Apple Airport Express? Or receivers?


I'm new to the digital audio world, although I've always hated MP3s and have ripped my CDs to lossless format.

However, naively I figured just setting up an Airport Express into my analog receiver would be the equivalent of playing a CD. Boy was I disappointed!

So doing some research, I now know that I need some kind of DAC connected via toslink optic cable to my receiver.

I'm hoping that people have some suggestions, especially something affordable, like under $300.

Also wondering, are there simple receivers with DACs in them that will do the same thing? I see someone on Craigslist selling a Denon 5700 for $350. Is this old flagship with DAC channels any good? I don't need a theater setup, but this seems like a good deal to a newbie.
engelgrafik
I've used a couple of inexpensive DAC's with an Airport Express, the Valab and the Beresford TC-7520 with the opamp upgrade. Both worked fine but the Beresford sounds much better to me than the Valab, has more flexibility and the build quality is much higher, for just a little more money.
Benchmark DAC1 will reject the jitter from your Airport Express. I would not put as much faith in older receivers at jitter rejection - although the difference will likely be small to most ears.
Shad is 100%.
Jitter from AE would seem to be an 'issue'. The difference is not, however, 'small'. The noise is like fingers on a chalkboard.
My CA840 HATES this combo....though when it plays, it is terrific. It just won't lock onto the AE signal, so every couple minutes it wigs out.

Good budget DAC? Maybe the CA DacMagic....but be sure you can return or just get a demo first......The noise made by mis clocking is awful.
What about the Pioneer VSX-29TX? Someone is interested in selling me his for $300. I read that it had some soldering problems but owner has confirmed that while he knew about that as well, he seems to be lucky in that after 9 years he still has no problems.