Need generic dynamic sql query to generate nodes depending on dealer levels

Question

Input table:
create table #test(dealerid integer ,dealerlvl integer)
insert into #test values(1,1)
insert into #test values(1,2)
insert into #test values(1,3)
insert into #test values(1,4)
insert into #test values(2,1)
insert into #test values(2,2)
insert into #test values(2,3)
insert into #test values(2,4)
insert into #test values(2,5)
insert into #test values(2,6)
go
create table #test2(dealerid integer,node integer,prntnode integer,dealerlvl integer)
insert into #test2 values (1,234,124,2)
insert into #test2 values (1,123,234,1)
insert into #test2 values (1,238,123,2)
insert into #test2 values (1,235,238,3)
insert into #test2 values (1,253,235,4)
insert into #test2 values (2,21674,124,3)
insert into #test2 values (2,1233,21674,1)
insert into #test2 values (2,2144,1233,2)
insert into #test2 values (2,2354,2144,3)
insert into #test2 values (2,24353,2354,4)
insert into #test2 values (2,245213,24353,5)
insert into #test2 values (2,2213,245213,6)
Expected result :
I have two test case here with dealerID1 and dealerID 2 
Result for DealerID1
Result needed for DealerID2:
the levels for dealers might change (Dealer1 has 4 levels, and Dealer 2 has 6 levels) so i need to create an dynamic sql query which lists each node as separate columns depending on the levels. 
I have hacked the query to give the result I need 
select a.dealerid,a.node as Lvl1,b.node as lvl2,c.node as lvl3,d.node as lvl4
from #test2 a 
join #test2 b on a.node=b.prntnode
join #test2 c on b.node=c.prntnode
join #test2 d on c.node=d.prntnode
where a.dealerid=1 and a.dealerlvl=2
select  a.dealerid,a.node asLvl1,
b.node as lvl2,c.node as lvl3,d.node as lvl4,e.node as lvl5,f.node as lvl6--,a.dealerlvl,a.dealerid
from #test2 a 
join #test2 b on a.node=b.prntnode
join #test2 c on b.node=c.prntnode
join #test2 d on c.node=d.prntnode
join #test2 e on d.node=e.prntnode
join #test2 f on e.node=f.prntnode
where a.dealerid=2 and a.dealerlvl=3
I am sure there is a better way to do this with dynamic sql. please help.
Thanks

Answer 1

-- Dynamic PIVOT
 DECLARE @T AS TABLE(y INT NOT NULL PRIMARY KEY);
DECLARE
   @cols AS NVARCHAR(MAX),
   @y    AS INT,
   @sql  AS NVARCHAR(MAX);
-- Construct the column list for the IN clause
 SET @cols = STUFF(
   (SELECT N',' + QUOTENAME(y) AS [text()]
    FROM (SELECT DISTINCT dealerlvl AS y FROM dbo.test2) AS Y
    ORDER BY y
    FOR XML PATH('')),
   1, 1, N'');
-- Construct the full T-SQL statement
 -- and execute dynamically
 SET @sql = N'SELECT *
 FROM (SELECT dealerid, dealerlvl, node
       FROM dbo.Test2) AS D
   PIVOT(MAX(node) FOR dealerlvl IN(' + @cols + N')) AS P;';
EXEC sp_executesql @sql;
 GO