A cascaded integrator-comb (CIC) interpolation filter is included within a digital-to-analog converter (138) and includes two up-samplers (150, 164). The two up-samplers (150, 164) also include a sample-and-hold function. The first up-sampler (150) up-samples an output of a differentiator (140). The second up-sampler (164) up-samples an output of an integrator (152) This reduces the area and power requirements of the CIC interpolation filter, while providing approximately the same filtering performance in the pass band and transition band. The total over-sample ratio of the CIC interpolation filter is equal to the first up-sampling ratio multiplied by the second up-sampling ratio. The stop band requirements of the CIC interpolation filter determines the relative sizes of the first and second up-sampling ratios.