What does 'directory=`pwd $1` ' mean, I know pwd is present working directory, so does that command take the present working directory of the directory the user is in depending on the varible ($1)?
I don't think the $1 will have any effect. I am not aware of pwd processing any options.
I agree with joeyg. There are no options to pwd.
The command is maybe trying to compose the full path to a subdirectory but the space character after pwd makes this unlikely.