Really nice work.
I thought about some analysis like this, too. But I could not manage it.
What i'm wondering about: why magic and white drop chance is decreased?
It seems so that we can never eliminate white drops before magic ones. The decrease in magic and white drops in your analysis is equivalent (percentual).
So that we can never really get it to zero.
And like someone before mentioned: when legendary drop chance decreases rare drop chance?
Excuse me for my bad english, but it isn't my native language.