I have a Macbook running OS 10.7.5

I'm interested in high-res digital audio file playthrough using this Mac. I'd run the files to a Yamaha R-S700 stereo amp running Axiom M3 speakers.

Currently vinyl sounds pretty sweet on this system, with a little NAD photo preamp in the mix.

But I'm thinking of turning to DSD / 24/192 digital files.

Kind of looked at a Meridian director DAC, but some reviews cast some doubts. I certainly won't pay 4 figures or high 3 figures for DAC.

Does a 24/192 DAC decode DSD files? I could never figure out that relationship.

Is DSD and or 24/192 beyond the capability of my system? ie. will the difference between that and a slightly lower-res digital file be discernible with a midlevel DAC and my Yamaha/Axioms?

Will high-res digital files + DAC really sound better than vinyl? I've read they will but … before I invest would be nice to know. I also have kind of an entry level turntable-- Denon 300F with upgraded Grado cartridge. But vinyl takes up a lot of space & maintenance ...