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Heat oven to 375 degrees. Line two baking large sheets with parchment paper.
Place flour, baking powder, baking soda and salt in the work bowl and pulse a few times to blend. Add butter and cream cheese in large chunks, plus sugar and blend until mixture is powdery. Add egg, vanilla and almond extracts and run machine until the dough balls together. You’ll probably need to scrape it down once or twice to get the mixture even.
Scoop balls of dough and roll them briefly in the palms of your hands before dropping them in a bowl of rainbow sprinkles and gently rolling to coat them evenly.
Transfer balls of sprinkle-coated dough to baking sheets at least two inches apart. Use the bottom of a drinking glass to press down on the cookies until they are about ¼ to ½-inch tall. If you see any bare spots in the sprinkles that bother you, you can sprinkle a few more on top.
Bake for 9 to 10 minutes until they look underbaked but lightly golden underneath. Let set on the baking sheet on a rack for a few minutes before transferring to cooling racks to cool the rest of the way. Repeat with remaining cookie dough.