In the posted code there is no mention of PWMPERx, however this register must also be configured.
The PWM duty cycle is directly related to the ratio of PWMDTYx to PWMPERx (where x denotes the channel number).
Thus for the case PPOLx=1 as in the given example then
Duty cycle = [PWMDTYx / PWMPERx] * 100%
For Polarity = 0 (PPOLx = 0) then
Duty cycle = [(PWMPERx - PWMDTYx)/PWMPERx] * 100%
This explained in more detail in section 12 of the S12C-Family reference manual...
http://www.freescale.com/files/microcontrollers/doc/data_sheet/MC9S12C128V1.pdf?pspll=1See pages 368 and 375-379
DPB