Justin- did not understand your first post. Thought you wanted to use the Denon as your source. You have it correct. and here are many usb/dacs and some that are usb/dac/hp amp. For a really comprehensive run-down, check out head-fi.org.
Does an integrated DAC/Headphone amp exist?
Im looking for a cost effective way of having decent sound and work. Loudspeakers are out of the question so headphones are the ticket. I was wondering if such a device exists as to not take up too much space on my desk as well as limit the cost of cabling. I would like to keep the cost under $1000 for the headphones, cabling, DAC and amp. I want somthing that is musical and easy to listen to for 8-9 hours a day and I prefer over the ear style 'phones and open air designs as to still be able to communicate with coworkers without removing the headphones each time to talk. I would be using my PC as the source. Can anyone recommend a good starting point for each peice of this puzzle? Thanks