Also it is v important to realize that during head on collisions (which you will deal with at school level)
its the TOTAL momentum which is conserved .
That is
m1u1 +m2u2=m1v1+m2v2
Later in higher classes you wil learn about oblique collisions in which individual components are also conserved.(But let's just move past that right now!).
Also during collisions although total energy is conserved,
using conservation of energy formula doesn't help.(except if the collision is elastic)
This is because some of the energy is lost as sound or heat (etc) and you cannot acount how much amount was lost.
So in your formula,
K1 +U1=k2 + U2
you never know about the values of U2 and U1 (which include terms like sound energy, heat, potential energy, )
so using conservation of energy gives you no extra information.
However, by using conservation of momentum you can find v2 and v1 and thus obtain the final kinetic energies (as you know m1 and m2).
After this you can use K1-K2 =U1-U2 and thus find how much energy was lost as sound or heat or to elasticity :-)