We consider the interference of two overlapping ideal Bose-Einstein condensates. The usual description of this phenomenon involves the introduction of a so-called condensate wave functions having a definite phase. We investigate the origin of this phase and the theoretical basis of treating interference. It is possible to construct a phase state, for which the particle number is uncertain, but phase is known. However, how one would prepare such a state before an experiment is not obvious. We show that a phase can also arise from experiments using condensates in Fock states, that is, having known particle numbers. Analysis of measurements in such states also gives us a prescription for preparing phase states. The connection of this procedure to questions of ``spontaneously broken gauge symmetry'' and to ``hidden variables'' is mentioned.