Question about Death's Dance

When it says "Stores 30% of all physical and magic damage received, and is taken as damage over time true damage instead", does it mean that the raw value will be applied as a bleed?

I really don't know how to explain my question that well so I'll give an example using X as the person applying damage and Y as person receiving:

X uses ability Q that does 100 magic damage, but Y has 35MR thus Y will receive only 74 magic damage from X's Q. However, Y has Death's Dance, which "reduces" by 30% the 74 magic damage to 52 magic damage but applying bleed over time.

So now that we have the scenario here is the question: Does Death's Dance take the original value of the ability (100 in this case) and apply the "stored" over 5 seconds? So for this scenario, I would be doing 52 magic damage + 30 true damage (over 5 sec) totaling up to 82 damage dealt?

Thanks for anyone who responds.