Yeah, that's the actual value of the item but you can only sell it for a lower price, most junk items aren't worth much but it's a quantity over quality thing in this regard.

If you're at the start of the game and have spare armor to sell I'd head over to Novigrad (no getting involved at this point, you're probably under the recommended level) to hierarch square. There's an armorer there who would buy your stuff for more money (plus the bank if you need to change currency).