Windows Dell: Monitor Display Resolution Changes When Closing Lid

I have a Dell Precision 5480 (2024 model). Everytime I close the laptop lid, the Display Resolution gets smaller. When I open the lid, it gets bigger. I'm trying to find a solution to keep same display settings.

Tried the following options;

1. Power Options --> "When Close the Lid" is "Do Nothing"

2. Display Settings --> Refresh Rate is at 60Hz