Baked Potato Salad

8 potatoes
1/2 pound bacon
1 pound processed American cheese, sliced
1/2 onion, chopped
1 cup mayonnaise
salt and pepper to taste
1/4 cup black olives, sliced

Preheat oven to 325 degrees F (165 degrees C). Butter one 9x13 inch baking dish. Bring a large pot of salted water to a boil. Add potatoes and cook until tender but still firm, about 15 minutes. Drain, cool and slice 1/4 inch thick. Place bacon in a large, deep skillet. Cook over medium high heat until lightly brown. Drain, chop and set aside. Combine the potatoes, cheese, onion, mayonnaise and salt and pepper. Mix well and pour into prepared baking dish. Top with bacon and olives, and bake at 325 degrees F or 1 hour.