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Once you get to the message that goes like “Mac OS X will be installed on…”, click the button that says Show All Disks.
HOW TO MAKE A FLASH DRIVE BOOTABLE ON MAC MAC OS X
Once it does, double-click on Install Mac OS X and run the installer. Now, insert your Mac OS X installation disk and wait for the window displaying the disc contents to pop up.Once the Options window comes out, choose GUID Partition Table. Towards the bottom of the window, there is an Options button.The size should be set between 15 to 16 gb.
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For the format, choose Mac OS Extended (Journaled).
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You will be asked to provide a name for the said volume, which you can assign by yourself.