If you are using a Windows based pc, I assume that your DNN installation has been setup as a Virtual Directory in IIS.
To have your DNN site appear on Localhost, and not localhost/dotnetnuke, all you have to do is.
1. Open IIS.
2. Right click on "Default Website" and select "Properties"
3. select the "Home Directory" tab
4. in the "local Path" field, click "Browse.." and select you DNN root folder.
After this make sure that your "Directory Security" settings, your "ASP.NET" settings and your "document" settings are similar to that of your original dnn installation.
Feel free to ask if you have more questions.