You could also make the argument of Indiana over UNC. Indy has 5 National Championships, where the Tar Heels have 4.
I think you could and it is debatable. But I would counter that both UNC and dook* should be higher than Indiana since Indiana hasn't done much since they won their last title in 87. I think they've been to the final 4 only twice since then and both UNC and dook* have many there many times since 87.
UNC is number 2 all time in wins and dook* is 4th. Indiana is around 10th.