I think I am using appropriate node/npm/node-sass versions but still I get this error – “Node Sass version 7.0.1 is incompatible with ^4.0.0” while running npm start comment. I am not sure what is this 4.0.0 version. it is not in any of my version given below.

Below are installed versions

Node version - 16.15.0
NPM version - 8.11.0
Node Sass version - 7.0.1

Below is package.json

{
  "name": "test-app",
  "version": "0.1.0",
  "private": true,
  "dependencies": {
    "@testing-library/jest-dom": "^4.2.4",
    "@testing-library/react": "^9.3.2",
    "@testing-library/user-event": "^7.1.2",
    "http-proxy-middleware": "^1.0.6",
    "node-sass": "^7.0.1",
    "normalize-scss": "^7.0.1",
    "react": "^16.13.1",
    "react-dom": "^16.13.1",
    "react-router-dom": "^5.2.0",
    "react-scripts": "^2.1.3"
  },
  "scripts": {
    "start": "react-scripts start",
    "build": "react-scripts build",
    "test": "react-scripts test",
    "eject": "react-scripts eject"
  },
  "eslintConfig": {
    "extends": "react-app"
  },
  "browserslist": {
    "production": [
      ">0.2%",
      "not dead",
      "not op_mini all"
    ],
    "development": [
      "last 1 chrome version",
      "last 1 firefox version",
      "last 1 safari version"
    ]
  },
  "devDependencies": {
    "sass": "^1.52.1"
  }
}

Can anyone guess what is causing incompatible issue?