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Cook the bacon, and set aside to crumble.
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In a large saucepan, cook the onion in butter or bacon drippings until softened. Add the chopped mushrooms and cook until tender and onion is golden.
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Add the chicken broth, salt, pepper, and paprika, stirring to mix.
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Blend in the mashed potatoes, stirring until lumps are gone. Bring the soup to a boil, then lower heat and add cheddar cheese, stirring until it is melted and smooth.
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Mix in the scallions, crumbled bacon, sour cream, and cream/half and half, stirring to until heated through but not boiling.