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MSI Installer error: Custom Action completed with return code: '340' | CodeAsp.Net

MSI Installer error: Custom Action completed with return code: '340'

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Error code 1603 with Visual Studio Web Deployment Project on Windows 7

While creating an MSI setup package using Visual Studio Web Deployment project, I was getting this error:

Custom Action completed with return code: '340'
CustomAction WEBCA_SetTARGETSITE returned actual error code 1603 (note this may not be 100% accurate if translation happened inside sandbox)
Action ended: WEBCA_SetTARGETSITE. Return value 3.
Action: FatalErrorForm.
Action start: FatalErrorForm.
DEBUG: Error 2826: Control BannerBmp on dialog FatalErrorForm extends beyond the boundaries of the dialog to the right by 3 pixels
The installer has encountered an unexpected error installing this package. This may indicate a problem with this package. The error code is 2826. The arguments are: FatalErrorForm, BannerBmp, to the right...

A simple fix for this error is to enable IIS 6 compatibility. Go to Control panel -> Program and Features-> Turn Windows Features On or Off and modify as shown in the image below:

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