An alert doesn't return anything so you are setting the contents of the button to undefiened. Just have the alert code without setting the button.innerHTML.
<button id="buttonevent" onclick="partyTime()">What time is it?</button>
<script>
  function partyTime() {
    alert("It's Party Time!");
  }
</script>
 
 
And, as you are new to this, let's break a bad habit right from the start. While you may see many bits of code that use onclick in the HTML, you should not set up your events this way. That's a 25+ year old technique that will not die the death it deserves for so many reasons. Instead, separate your JavaScript from your HTML and do the event binding in JavaScript.
<button id="buttonevent">What time is it?</button>
<script>
  // Set up the click of the button to call the partyTime function here
  // in JavaScript, not from the HTML.
  document.getElementById("buttonevent").addEventListener("click", partyTime);
  function partyTime() {
    alert("It's Party Time!");
  }
</script>