This setting is used for enabling USB boot. If you use a non standard psu this will allow USB boot.
My experience (with pi4) that under voltage message was related to the amount of ripple or voltage drop of the PSU.
I wanted to use a linear PSU but it was not fast enough to regulate the current increase of the pi4.
The PI5 is even worse, it needs a very stable psu.
At least that is my experience,
As far as I know the resistors are at the PI side to instruct the PSU. The Pi5 is not a PD device like a laptop.