I use Monterey Weed & Hoe. The instructions say 1 tablespoon to 1 gallon but I use 3 tablespoons per gallon and it works better. This stuff does not affect the grass, it does not make it yellow it only attacks the weeds. The ground does not need to be moist unless the instructions say - most weed & feed instructions say to water the lawn then apply the granules and don't water for x amount of days. I don't use weed & feed products, I've found they don't attack all the weeds and I find that I have to spend more money on another product to kill the other weeds. Mushrooms are only signs that something under the ground is rotting, probably just a root from an old tree. I have a beautiful green lawn and when I moved in here over 14 years ago the neighbors told me that the lawn was all weeds and the lawn was knee high - not cared for at all. Good luck and happy gardening!
Also, I don't know what area of the country you live in, but here in California we plant a winter lawn. This winter grass prevents any weeds from coming in during spring/summer. Hope this helps.
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