Sugar water is used to help the bees to
1. Draw comb, (one sugar to one water volume or weight) 2. Stimulate brood production, (one sugar to two water volume or weight)3. Fend off starvation, (two sugar to one water) 4. Help to top off winter supplies (again 2 sugar to one water).
No it does not go into honey. You have to be careful, sugar is sugar honey is nectar from flowers. You should not mix the two if your going to extract. It will not be honey but a mix.
Dan