A linear stability analysis of buoyancy and surface tension driven convection in temperature and magnetic field sensitive Newtonian ferromagnetic liquid is studied. The importance of this problem lies in the interesting possibility of regulating convection using a heat source (sink). The problem discussed in this paper leads to a situation that the basic temperature gradient here is non-uniform. The governing equations thereby are of variable coefficients. The principle of exchange of stabilities is shown to be valid. The critical values are obtained using higher order Galerkin technique. The influence of various magnetic and nonmagnetic parameters on the onset of convection has been analyzed. It is found that there is tight coupling between Rayleigh and Marangoni numbers, with an increase in one resulting in a decrease in the other. Variable viscosity parameter and heat source destabilize the system. The effect of heat sink is to stabilize the system. Buoyancy magnetization parameter destabilizes the system both in presence/absence of heat source/sink.

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