Sayyiduna Abdullah bin Amr bin al-As (may Allah be pleased with them both) said: The deceased is to be dressed in a shirt and a waist-wrapper, and wrapped in a third cloth; and if there is only a single cloth, he is to be shrouded in it.
This report is mawquf (a Companion's own statement).
Hadith Referenceالسنن الكبرى للبيهقي / كتاب الجنائز / 6689