This is a Starfleet costume accessory like those appearing in Star Trek II: The Wrath of Khan. The item is a division strip for an engineer’s white radiological suit made from black felt backing with white borders and a red and gold fabric strip. The red fabric indicates the wearer to be a trainee while the gold flash indicates the intention to become a member of the engineering division. The item is sewn fastened and measures approx. 2 X 5.5 inches diameter.
A screen-cap of Peter Preston wearing one of these division strips is included for reference.
Please note that the description in the COA is incorrect but nearly correct in the auction database if you were to look up the item number.