Bit of an audio newbie here so bare with me. I'm currently looking at buying a Denon M39DAB microsystem for use with my laptop. I've gathered that in reality I'm going to need a DAC. The only thing is that I'm not sure which DAC, connection wise, would allow me to do all I want it to for the cheapest price? The laptop I'm using I'm pretty sure dosen't have a digital output so I'm not sure how that affects it. I'll be using my setup with my headphones quite often so while I'm not even sure if they get plugged into the stereo or the DAC I'm going to need a connection for that too. Will I need a headphone amplifier as well?
In short: Microsystem, laptop (no optical output), headphone use, DAC = how do i achieve best results cheapest?