# Initial valuation

Before sellers submit their machines for sale, makana.com provides an initial valuation based on the nominal value of the equipment. This is calculated using basic metrics such as the original purchase price, annual depreciation rates, and the year of manufacture. For example, if an excavator purchased in 2019 for $100,000 depreciates at 10% per year, its current nominal value would be $50,000.

This initial valuation serves as a guideline and helps sellers gauge the approximate worth of their machinery, but it is subject to adjustments based on further inspection and verification.
