In a small bowl, cream butter and sugars. Add egg and extracts; mix well. Combine the flour, cornstarch, almonds, baking powder and salt; add to creamed mixture just until blended. Shape into two balls. Cover and refrigerate for at least 2 hours.
On a lightly floured surface, roll out dough to 1/4-in. thickness. Cut out with lightly floured 2-1/2-in. cutters. Place on baking sheets coated with cooking spray. Sprinkle with colored sugar and/or sprinkles if desired.
Bake at 350° for 7-9 minutes or until set and bottoms are lightly browned. Cool for 2 minutes before removing to wire racks. Yield: 28 cookies.