Calculate currents of diodes
Using KVL and KCl here seems to confuse you from getting the correct answers. If you consider 0 V as the negative side of your voltage source, what must the voltage be on R2 in the middle?  Answer:1.4V. Why ? 

Now work out the rest easily .

Change R1,R2,V1 to 1.5V+0.5k then V(R3) becomesChange R1,R2,V1 to 1.5V+0.5k is the equivalent source and KVL indicates if you remove D2, (to test for potential V(D2))=V((R2))

I(D1)=(1.5V-0.7V)/(0.5k+1k)=0.8V/1.5k=
0.53...mA 
Thus if V(R2) cannot be 1.4V since V(D2)=0.53V is not conducting significantly (&lt;&lt;0.7V)