Good analysis, although your figures on the North Korean Army are a bit low. Those figures you cite are the ones who are just a few klicks from the border and ready to "jump". The active duty army is a little over one million and the rest are as follows:

The Reserve Military Training Unit consist of approximately 1.7 million persons (men 17-45 and unmarried women 17-30) who are not either in active duty or important rear area personnel. They are mobilized under supervision of provincial military units, for a total of forty days' training out of the year.
The Worker-Peasant Militia is a combination of older men aged 45-60, along with men ages 17-45 and unmarried women ages 17-30 who are not included in Reserve Military Training Unit. They train for a total of thirty days out of the year. Their current numbers stand at 4.1 million.
The Young Red Guards consist of 1.2 million male and female Higher Middle (High) School students aged 14-16. They are subject to a mandatory four-hour drill session every Saturday and a total of 160 hours of on-campus drills annually. A total of 450 hours of off-campus training is also mandatory.


So, if you count active duty and first line reserves, the North Korean Army is nearly 3 million strong. If you count the rest, it is huge. Either way, it is a formidible force with huge numbers of good, if not great, equipment. They are also very "hard" people.