Quikash Finance Company is in the consumer loan business. It borrows from banks and loans out the money at higher interest rates. QuiKash's bank requires Quikash to submit quarterly financial statements in order to keep its line of credit. QuiKash's main asset is Notes Receivable. Therefore. Uncollectible-Account Expense and Allowance for Uncollectible Accounts are important accounts. Cameron Karr, the company's owner, wants net income to increase in a smooth pattern. rather than increase in some periods and decrease in others. To report smoothly increasing net income, Karr underestimates Uncollectible-Account Expense in some periods. In other periods. Karr overestimates the expense. He reasons that over time the income overstate- ments roughly offset the income understatements. Required Is QuiKash's practice of smoothing income ethical? Why or why not?