3. Problem 30-03 (Plan Funding) eBook Plan Funding Consolidated Industries is planning to operate for 10 more years and then cease operations. At that time in 10 years), it expects to have the following pension benefit obligations: Year 11-15 16-20 21-25 26-30 Annual Total Payment $2,750,000 2,250,000 1,750,000 1,250,000 750,000 31-35 The current value of the firm's pension fund is $5.8 million. Assume that all cash flows occur at year-end. a. Consolidated's expected return on pension assets is 5%, and it uses 5% to discount the expected pension benefit payments. What is the present value of the firm's pension fund benefits? Do not round intermediate calculations. Round your answer to the nearest dollar. $ b. Is the plan underfunded or overfunded? Do not round intermediate calculations. Round your answer to two decimal places. Funding ratio = The plan is -Select