The idol is not "for" anything at all. It is possible to sell it, but not for an amount that would justify the trouble of getting it.
Kozah was an Evil god. One would assume that the Doomsayer is a servant of Kozah, come to collect the Idol either for some Evil purpose, or merely to take it someplace where it won't be found (and possibly profaned) by meddling infidels once again. So letting him have the Idol would be an Evil or Neutral action, and killing him would almost certainly be a Good action.
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Volothamp's Comeuppance
Everything you ever needed to know about the entire Baldur's Gate series......except spoilers.
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