An allocation quesstionnaire allows the Judge to decide which 'track' the case should be allocated to. Since the claim is worth £10k according to the Claimant, it falls outside of the quickest,cheapest and most informal track the small claims.
If it is a relatively simple matter, and will not take more than a day to hear in court then it is likely to be allocated to the fast track.
The most complicated and/or lengthy cases get allocated to the multi-track and normally there is a hearing before the trial called a Case Management conference to see if there is scope to settle.
If you don't want to settle tick the box and explain why - the Defendant considers the claim wholly without merit.
The claim should be heard in your local county court for convenience of the defendant (give any other reasons - travel/childcare/disability etc)
Is it a claim to which a pre action protocal applies? Check out the justice.gov website it will help you decide if one applies and if the C has followed it
The rest is fairly self explanatory - seeks it is likely to be a fast track case.
If it is just one witness for each side, their word against yours and the legal situation isn't complicated - maybe 2hrs or 3hrs time estimate. If there are more witnesses or it is a little more complicated 1 day. If lots of witnesses or very complicated (hundreds of pages of documents) 2 days? Judges can race through cases at a real pace.
proposed directions - (file = send to court, serve= send to the other side)
have your filed and served a defence, if not when will it be done by
have you (and they) disclosed all relevant documents, if not when will it be done by
are there experts reports to be exchanged?
file and serve witness statements
agree a bundle of documents if possible, although normally it is for the claimant to prepare the trial bundle
list for a hearing
HTH