A numerical simulation on nitrogen gas flow in a long parallel plate microchannel was performed to obtain the effect of compressibility and rarefaction on gaseous flow in microchannels. The simulation was based on steady. two dimensional compressible Navier-Stokes and energy equations with noslip and first order slip boundary conditions. The channel was $1.2{mu}m$ deep and $3000{mu}m$ long. The Reynolds numbers were in the range of order from $10^{-2}$ to $10^{-1}$. So the flow was assumed to be laminar. The computations were performed on various pressure ratios. The outlet pressure was fixed to atmospheric pressure. The outlet Knudsen number was 0.0585, consequently the flow was in the slip flow regime. The computations were performed with the assumption of isothermal channel walls. The results were compared with the experimental data. The agreement was good.