Incorrect path for folders in Xcode results in their names being displayed in red instead of black

The full path for some folders in a Xcode includes `Intermediate/ProjectFiles/`. This is incorrect, since that path does not exist, and results in the folder names being displayed with red text. Removing `Intermediate/ProjectFiles/` from the path allows the folder names to be displayed with normal black text.

1. Create a new basic code project.
2. Open the project in Xcode.

RESULT:
Several folder names appear with red text (see attached screenshot).

EXPECTED:
All folder names are displayed with black text.