And it's 60 Hz, not 60 MHz, unless you want your screen to update at 60 million times per second
V-Sync will try to lock the framerate of the computer to the framerate of the screen - so if the computer is capable of producing 80 frames per second and the screen is only capable of displaying 60 per second, the V-Sync will try to slow the computer down.
However, it won't be able to speed it up. If the computer is only capable of producing 40 frames per second, V-Sync won't be able to force an update at 60.
As far as terrain in Orbiter goes it has no effect AT ALL. Same with every other game. The issue is in locking the screen and computer at the same FPS.