Η φωτογραφική μηχανή είναι στην τσάντα.

Yes, literally it does. Greek very often uses φωτογραφική μηχανή for a photo camera.

• φωτογραφική = photographic
• μηχανή = machine, device

So the phrase is completely normal Greek. You may also hear κάμερα, but φωτογραφική μηχανή is especially clear for photo camera rather than video camera.

Η is the feminine singular definite article in the nominative case, so here it means the.

It matches μηχανή, which is a feminine noun. So:

• Η φωτογραφική μηχανή = the camera

Because Greek adjectives agree with the noun they describe in:

• gender
• number
• case

The noun μηχανή is feminine singular, so the adjective must also be feminine singular:

• φωτογραφικός = masculine
• φωτογραφική = feminine
• φωτογραφικό = neuter

Here the correct form is φωτογραφική because it describes μηχανή.

Είναι means is here.

It is the present-tense form of to be used for:

• he/she/it is
• they are

In this sentence the subject is singular, so it is understood as is:

• Η φωτογραφική μηχανή είναι... = The camera is...

Here στην means in the.

It comes from:

• σε = in, at, to
• την = the (feminine accusative singular)

So:

• σε την τσάντα → στην τσάντα

This contraction is standard in Modern Greek.

Because σε takes the accusative case.

So although the basic dictionary form is:

• η τσάντα = the bag

after σε it becomes:

• την τσάντα

And with contraction:

• στην τσάντα = in the bag

So η is nominative, but την is accusative.

Because many feminine nouns in Modern Greek have the same form in the nominative and accusative singular.

So you get:

• η τσάντα = the bag
• βλέπω την τσάντα = I see the bag
• στην τσάντα = in the bag

The article changes, but the noun τσάντα stays the same.

No. Greek word order is more flexible than English.

The sentence:

• Η φωτογραφική μηχανή είναι στην τσάντα.

is the most neutral way to say it.

But Greek can change the order for emphasis, for example:

• Στην τσάντα είναι η φωτογραφική μηχανή.

This gives more emphasis to in the bag. English usually cannot do this as freely.

A rough pronunciation is:

ee fo-to-gra-fee-KEE mee-ha-NEE EE-ne stin TSAHN-da

A few helpful points:

• η sounds like ee
• χ in μηχανή is a throaty sound, somewhat like a soft h/kh
• τσ sounds like ts
• the stress falls on -κή, -νή, εί-, and τσάν-

Yes, as a learner, you should keep it.

In natural fast speech, it may sound lighter or blend with the next sound, but it is part of the standard written form στην and helps make your Greek clearer.