Are Decision Trees affected by the outliers? Explain.

No, Most likely outliers will have a negligible effect because the nodes are determined based on the sample proportions in each split region (and not on their absolute values).

However, different implementations to choose split points of continuous variables exist. Some consider all possible split points, others percentiles. But, in some poorly chosen cases (e.g. dividing the range between min and max in equidistant split points), outliers might lead to sub-optimal split points. But you shouldn't encounter these scenarios in popular implementations.