In my opinion most of the upgrades make sense, like better batteries, better sonar, radar, snorkel and the turbocharger, but there are also some I think are unneccessary,
The Typ II D has a longer range as the Typ II A as far as I remember, but with 5 eels and slow surface speed, I was glad to get rid of my Typ II and get me a Typ VII.
Upgrading from a Typ VII B to a VII C for example gives you little, unless you want to keep it till the end of the war, since it was said that more upgrades become available for the Typ VII C. However I would stick to my Typ VII B and upgrade to a Typ VII C/41 instead.
Upgrading from a Typ VII to a Typ IX is worth it, since you get longer range, more torpedoes and higher surface speed but you trade it in for maneuverability, diving time and submerged speed.
Upgrading from a Typ IX B to Typ IX C in essences only improves your range, though that may keep you at sea longer I doubt it improves your ability to sink more ships. So far I always managed to spend my torpedoes without too much worry about the fuel.
Upgrading to a Typ XXI is always a good move ;-)
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