Activate a shovel, right-click the corpse and select '''Bury'''.
Burying is generally designed for the disposal of a corpse. A An unbutchered corpse will attract carnivores so therefore it is a respectful act to bury an animal after you kill it. It is a good idea to [[butcher]] the animal with a [[butchering knife]] before it is buried. Also, remember to bury your own corpse after you pick up its inventory.
If you try to bury something on rock or in a cave, you get "The rock is too shallow to bury anything in." as the message.